The man who made a definite start to the merger of Virgin Galactic with his social capital Hedosia Holding Company in the current SPAC crowd has split the remaining individual stake in the space tourism company. Chamal Palipitiya, who serves as chairman of the board of Virgin Galactic, still holds 6.2% ownership in the company in partnership with investor Ian Osborne, but his single holdings are now at zero.
Palihapitia sold 3.8 million shares in December 2020, noting that it was helping to sell that equity [his] Liquidity “to provide funding for a number of new projects to begin in 2021.” At the time, Palipitiya said that he was “committed and excited for the future of SPCE.” [Virgin Galactic’s stock ticker on the NYSE]”
The sale this week consisted of 6.2 million shares, with Palihapitia totaling approximately $ 213 million in the process. He has not yet commented on this most recent sale, and we have reached out to Virgin Galactic for additional reference, and will update if we hear back.
Virgin Galactic has suffered some setbacks in its testing schedule, pushing the projected date for its first paid commercial tourist flights in 2022 from its first target sometime this year. The company installed Disney Parks leader Michael Colgazier as its new CEO last July, replacing George Whitsides, who had previously taken on the role of chief space officer. It was revealed on Thursday that he was leaving the company..
Space as a region has been a hub of SPAC activity of late, with the announcement of the merger of several companies including Astra, Spire, Rocket Lab, Blacksky and Momentus. Virgin Galactic, as one of the first, would be looking for a yard stick by which anyone would be seen to measure strategy. The company’s share price is only below 5% pre-market, and has been on a steady decline since reaching an all-time peak in mid-February.