Thursday, November 30, 2023
HomeEditor’s PicksAstra Space Inc. Countdown to $0?

Astra Space Inc. Countdown to $0?



  hours  minutes  seconds


Runs Out of Capital?

The Company believes that its current level of cash and cash equivalents and marketable securities are not sufficient to fund commercial scale production and sale of its services and products. These conditions raise substantial doubt regarding its ability to continue as a going concern for a period of at least one year from the date of issuance of these unaudited condensed consolidated statements.

Source: Astra SEC filing November 2022

Case Closed did the math based upon Astra's 3Q22 reporting – Astra only has enough capital to last until September 2023. Without additional cash, the end of September will be the end for Astra.

Source: Case Closed

Astra has a few options to address their looming capital issue: issue and sell new (dilutive) stock; take on debt; accelerate revenue receipts for their spacecraft engine product; and/or reduce their cash burn through massive cost cutting (e.g., abandoning services and transforming into a products business). Other alternatives for Astra include: being acquired; or declaring bankruptcy. It is not clear which option Astra will take, or be forced into. Time will tell… and the clock is ticking.

To understand how Astra ended up in this situation take a look at Astra Space Inc. Company History 2016 to the Present. For more information about how the delisting process works see Will Astra be delisted from the Nasdaq? To see how Astra stacks up against other Space SPAC companies check this out Space SPAC Companies Performance. For a wider perspective on relative performance read Space Companies Relative Performance (Publicly Listed).

Astra Liquidity Comments from SEC Filing

Source: Astra SEC filing


Subscribe to our weekly newsletter. Sent every Monday morning. Quickly scan summaries of all articles published in the previous week.

Most Popular