Energy, Space De-SPACs See Gains in Day 4 of Gaza War
by Nicholas Alan Clayton on 2023-10-10 at 2:41pm

Relative positivity has continued into a second straight day this week as the market leans perhaps more into encouraging signs around the future of interest rates than the prospect of renewed conflict in the Middle East.

Those jitters nonetheless appear to have propelled de-SPACs in the oil and gas sector to a good day despite the fact that oil prices themselves remain largely unchanged.

Oil & gas has generally been fruitful for SPACs in general with 19 such deals completed since December 2012. Of this group, three either last closed or were earlier acquired for more than $20 per share and four more continue to trade in the teens.

Sitio Royalites (NYSE:STR), which combined with Osprey Energy in 2018 is up +1.2% on the day to about $23.86 while TPG Pace Energy‘s target Magnolia Oil & Gas (NYSE:MGY) was similarly up about +1% to $22.71 as of this writing.

Satellite companies that got to market via SPAC deals have seen even bigger bumps today. With much of their revenue coming from the defense sector and conflict-researchers, the market appears to see them as having new work in the pipeline.

BlackSky (NYSE:BKSY) is on a +18% run two years out from completing its combination with Osprey Technology, while Israeli satellite operator Satixfy (NYSE:SATX) is recovering +27.7% after taking a hit yesterday in the market’s initial reaction to the new Gaza violence

Peer space de-SPACs Terran Orbital (NYSE:LLAP), Rocket Lab (NASDAQ:RKLB) are each up about +5%, while AST SpaceMobile (NASDAQ:ASTS) has seen a +7.7% boost in the early afternoon and Planet Labs (NYSE:PL) is up +1.7%.

The outlier in the group that has not been taken on a similar ride is Satellogic (NASDAQ:SATL) which is down -2.7% so far today.

Overall, these companies, given their early and in some cases pre-profitability nature, have not been graced with the same enthusiasm as oil and gas de-SPACs overall, however, and they all collectively last closed at a median share price of $0.78, adjusted for stock splits.

 

Recent Posts
by Nicholas Alan Clayton on 2023-12-01 at 7:49am

At the SPAC of Dawn There had been hopes that this week would take one world conflict off the board, but combat has resumed in the Middle East as other eyes are likely to be fixed on new Fed comments today. The fighting in Gaza continues to not appear to have appreciable affects on the...

by Marlena Haddad on 2023-11-30 at 5:50pm

Chavant Capital Acquisition Corp. (NASDAQ:CLAY) announced in an 8-K filing this afternoon that it has amended its business combination agreement with Mobix Labs. The amendment involves specific alterations to the exchange ratio, now set at a one-to-one ratio to determine how many shares of Class A Common Stock and Class B Common Stock Mobix Labs’...

by Marlena Haddad on 2023-11-30 at 5:19pm

ShoulderUp Technology (NYSE:SUAC) announced this afternoon that it has signed a non-binding letter of intent (LOI) to combine with an undisclosed private IT company and has terminated its previous LOI with Airspace Experience Technologies. Terms of the new transaction have not yet been announced, but the parties expect to finalize a definitive agreement by the...

by Nicholas Alan Clayton on 2023-11-30 at 3:21pm

The pace of lock-up expirations is picking up in the final month of the year after a relatively quiet November. Seven de-SPACs and sponsors will be freed to run downstairs and see what the public markets have brought them, but not all are likely to find treats in their wooden clogs. The fastest kid into...

by Marlena Haddad on 2023-11-30 at 12:08pm

Innovative International (NASDAQ:IOAC) announced in an 8-K that it has removed its earnout shares in connection to its combination with car sharing program Zoomcar. On November 30, IOAC and Zoomcar agreed to a letter agreement regarding the release of 20 million earnout shares, which were originally intended to be placed in an escrow account upon...

logo

Copyright © 2023 SPACInsider, Inc. All Rights Reserved