AST SpaceMobile secures $1 billion convertible bond to fund satellite network and potential launch capabilities

AST SpaceMobile priced a convertible bond exceeding $1 billion, raising approximately $983.6 million in net proceeds. The debt carries a 1.625 % coupon, matures in 2034 and can be converted into Class A shares at an initial price of about $79.57 per share. Proceeds are earmarked for expanding the company’s satellite constellation and for gaining greater control over orbital access, with analysts speculating the funding could also support the acquisition of launch services, potentially reducing reliance on external providers such as United Launch Alliance.

Following the announcement, the company’s stock showed weakness, reflecting investor concerns about possible dilution and the impact of the financing on existing shareholders. A portion of the raise ($96.9 million) is allocated to a capped‑call structure intended to limit dilution risk upon conversion.