Terran Orbital Begins Trading After SPAC Completion 

The Terran Orbital team at the New York Stock Exchange. Photo: NYSE

Terran Orbital completed its SPAC merger and began trading on the New York Stock Exchange on Monday. 

This completes the special purpose acquisition (SPAC) merger with Tailwind Two Acquisition Corp. that Terran Orbital announced in October. Tailwind Two Acquisition Corp. shareholders approved the transaction on March 25.

The small satellite manufacturer will receive $255.4 million in gross proceeds from the deal. This is made up of $29.4 million of gross equity proceeds from Tailwind Two’s cash-in-trust, and a $50.8 million PIPE with participation from AE Industrial Partners, Beach Point Capital, Daniel Staton, Lockheed Martin, and Fuel Venture Capital. It also includes $175.3 million of gross debt financings provided by Francisco Partners, Beach Point Capital, and Lockheed Martin. 

When the deal was first announced, Tailwind Two had $345 million in trust, which indicates there were a large number of SPAC redemptions, in which investors redeem their shares instead of investing in the combined company. Tailwind Two said in filings with the Securities and Exchange Commission that a total of 31,565,677 Tailwind Two shares were redeemed, but did not say what percentage of shares that represented. 

Terran Orbital out-earned its projections for 2021 revenues, reporting on Monday that full year revenue was greater than $40 million. In October, the company projected $35 million in revenue for the year. 

“As we advance, Terran Orbital will continue to define the small satellite market by combining high-volume manufacturing with fully integrated operations and mission planning capabilities,” commented Marc Bell, Terran Orbital co-founder, chairman, and CEO. “As a public company, we expect to leverage our industry position to capitalize on the exponentially rising demand for small satellites and earth observation data to meet critical government, national security and commercial needs, support human space exploration, and deliver long-term value to our partners and investors.”

Bell said the company hopes to capture the small satellite market by combining “high-volume manufacturing with fully integrated operations and mission planning capabilities.” The company is also building an Earth observation constellation.

The company is now trading under the ticker symbols $LLAP, a nod to the “Star Trek” Vulcan blessing “live long and prosper.”