Space exploration firm World View Enterprises to go public via SPAC deal

American near space exploration and technology company World View Enterprises has signed a definitive merger agreement with Leo Holdings Corp. II, a special purpose acquisition company (SPAC), in a move to go public.

The combined entity, which will be focused on stratospheric exploration and flight, has a pro forma estimated enterprise value of around $350 million. It will continue to function as World View, post-closing.

World View Enterprises anticipates to use the proceeds from the transaction to increase its presence in the stratospheric remote sensing industry.

In addition, the stratospheric exploration company will continue to develop its next-generation capabilities such as its space tourism and research and education businesses.

Under the agreement, World View Enterprises may receive up to $121 million in gross proceeds, assuming no redemptions, and including a proposed transaction financing to be raised by both parties with target proceeds of $75 million.

Space exploration firm World View Enterprises to go public via SPAC deal. Photo courtesy of Mr_Murdoch from Pixabay.

Ryan M Hartman — World View Enterprises president and CEO said: “This merger with Leo allows us to scale our demonstrated expertise and strong foundation of strategic partnerships to meet the growing market demand for data and analytics from the stratosphere.”

World View Enterprises and Leo Holdings Corp. II have also partnered with New Vista Capital for technical, operational, and industrial expertise.

Subject to the approval of the stockholders of World View and Leo Holdings Corp. II, the merger agreement is anticipated to complete in the second quarter of 2023.

World View Enterprises has also signed a wide range of strategic partnerships and memorandums of understanding with Sierra Nevada, Infleqtion, and ScepterAir/ExxonMobil to further advance remote sensing services.

The customers of World View Enterprises include NASA, the United States Department of Defense, NOAA, the United States Air Force, Raytheon Technologies, Sierra Nevada, and Southwest Research Institute, among others.