York Space Systems to Acquire All.Space Holdings for $355 Million in Cash and Stock

summarizeSummary

York Space Systems Inc. is acquiring All.Space Holdings, Inc. for $355 million, funded by cash and up to 5.9 million newly issued shares, marking a notable strategic expansion.

check_boxKey Events · M&A and Partnerships · YSS

• Material Definitive Agreement for Acquisition

  York Space Systems Inc. entered into an Agreement and Plan of Merger to acquire All.Space Holdings, Inc. for an aggregate purchase price of $355 million.

• Acquisition Consideration Details

  The purchase price will be paid with approximately $155 million in cash and up to 5.9 million shares of York Space Systems Inc. common stock.

• Equity Issuance and Lock-up

  The newly issued shares will be subject to a lock-up period, with 50% restricted for six months and the remaining 50% for nine months post-closing.

• Escrow and Indemnification Provisions

  The agreement includes a $5 million adjustment escrow, a $1.5 million reorganization indemnification escrow, and a GBP 750,000 special indemnification escrow.

auto_awesomeAnalysis · YSS · Manufacturing

York Space Systems Inc. announced a definitive agreement to acquire All.Space Holdings, Inc. for an aggregate purchase price of $355 million. This significant acquisition, funded by a combination of cash and newly issued common stock, represents a strategic expansion for York Space Systems. The transaction involves the issuance of up to 5.9 million Parent Shares, which will result in dilution for existing shareholders. The acquisition is subject to customary regulatory approvals and includes specific escrow and indemnification provisions, with a lock-up period for the shares issued to the sellers. This move comes as York Space Systems Inc. has shown strong revenue growth but also faces significant negative operating cash flow and a declining backlog, suggesting a strategic effort to bolster its market position and future growth prospects.