Virgin Orbit (NASDAQ:VORB) stock is rocketing more than 50% higher today after the company announced that it would begin an “incremental resumption” of its operations beginning tomorrow, March 23. A “further resumption” of operations will then begin on March 27. Virgin will place its focus on preparations for its next mission.
The company entered into a complete operations pause on March 16 in an effort to preserve capital while engaging in discussions with potential funding sources. Virgin noted that it would not provide any more details on potential funding until its board approves a specific transaction.
Meanwhile, Reuters reported this morning that Virgin Orbit was close to signing a $200 million private share placement investment from venture capitalist Matthew Brown. Both Virgin and Matthew Brown did not respond to a request for a comment, although the two parties are reportedly seeking to close the deal by this Friday. Brown will be able to convert his investment in preferred shares into common shares, according to the term sheet seen by Reuters.
During the third quarter of 2022, Virgin reported revenue of $30.9 million — up from $0 in Q3 2021 — and a net loss of $43.6 million. Capital expenditures were $6.9 million as well, which contributed to the lower cash and cash equivalents value of $71.2 million. The launch services company has not yet announced a date for its Q4 earnings.
5 Investors Betting Big on VORB Stock
Tracking institutional ownership is important, as these large investors provide liquidity and support for stocks. During Q4, 19 13F filers disclosed ownership of VORB stock, which remained unchanged from Q3. What’s more, 5 13F filers reported selling their entire stake during the quarter, while 5 13F filers reported new stakes. Meanwhile, the institutional put/call ratio sits at 0.46, down from 0.86. That’s equivalent to 111,800 puts and 241,100 calls, implying a bullish options stance.
With that in mind, let’s take a look at the five largest shareholders of Virgin Orbit:
- Virgin Investments: 252.12 million shares. Virgin Investment’s stake remained unchanged compared to the last update.
- Mubadala Investment Company: 60.17 million shares. Mubadala’s stake is accurate as of Q4 2021.
- Yorkville Advisors: 37.40 million shares. Yorkville acquired 212,449 shares during Q4 2022.
- Vanguard Group: 2.16 million shares. Vanguard’s stake remained unchanged during Q4 2022.
- Geode Capital Management: 176,023 shares. Geode’s position remained unchanged during Q4 2022.
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On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.