Connect with us

Business

Elon Musk says Starlink will go public once cash flow is predictable

Published

on

Elon Musk says Starlink will go public once cash flow is predictable

SpaceX will take its Starlink internet service public after its cash flows become more predictable, CEO Elon Musk said Tuesday.

The world’s richest man laid out the loose criteria for a Starlink IPO on Twitter as SpaceX worked to expand the satellite internet network, which has more than 10,000 users in the US and abroad.

Musk said the offering would come “once we can predict cash flow reasonably well” for Starlink, which he described as a “staggeringly difficult technical & economic endeavor.” He didn’t offer a specific timeline for the potential listing.

“SpaceX needs to pass through a deep chasm of negative cash flow over the next year or so to make Starlink financially viable,” Musk said in a Twitter exchange early Tuesday morning. “Every new satellite constellation in history has gone bankrupt. We hope to be the first that does not.”

Starlink connects customers to the internet through a network of satellites that SpaceX has launched above the Earth. The service launched a “Better Than Nothing” beta test in October, charging users $99 a month plus $499 for the equipment needed to connect to the network.

Musk has previously indicated that privately held SpaceX would eventually look to spin off Starlink as a public company after its revenue growth becomes “reasonably predictable.”

The apparent strength of Starlink’s business was helping to drive up the price of SpaceX’s shares on the private market last fall, as The Post reported at the time. But Musk pledged in a September tweet that small investors would get “top priority” in the Starlink offering.

Musk owns about half of SpaceX, a stake that accounts for close to $19 billion of his $206 billion net worth, according to Bloomberg’s Billionaires Index.

Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Alexandra Ford English becomes 1st female board member at Ford

Published

on

Alexandra Ford English becomes 1st female board member at Ford

Henry Ford’s great-great-granddaughter has become the first woman in history to take a seat on the company’s board of directors.

Alexandra Ford English, 33, who has an MBA from Harvard and an undergraduate degree from Stanford, will begin her tenure on the 14-member board immediately, which will also include her cousin, Henry Ford III, the founder’s great-great-grandson, according to a report.

English, the daughter of the company’s executive chairman Bill Ford, joined the 118-year-old company in 2017 and works as director of corporate strategy.

Both Ford and English were elected to the board in March.

Continue Reading

Business

AMC cashes in on Reddit-trading frenzy with $428 million share sale

Published

on

AMC cashes in on Reddit-trading frenzy with $428 million share sale

Cinema operator AMC Entertainment Holdings has raised about $428 million from a share sale, capitalizing on the retail-trading driven surge in its stock earlier this year.

The world’s largest cinema chain operator’s shares have gained more than five-folds in 2021 thanks to interest from amateur traders on Reddit that were piling into heavily shorted stocks such as GameStop and AMC to punish hedge funds that bet against them.

AMC said in a statement Thursday it had sold 43 million shares at an average price of $9.94 apiece in the at-the-market offering, sending its stock nearly 16 percent higher.

The company has raised funds in the past few months to ride out a downturn in its business wrought by pandemic-driven theater closures, delays in the launch of big movies and the growth of video streaming platforms.

It said in January it had raised $917 million since mid-December through equity and debt issues. It raised an additional $304.8 million in the same month through a share sale.

Continue Reading

Business

Amazon Fresh grocery store to replace Fairway in Paramus

Published

on

Amazon Fresh grocery store to replace Fairway in Paramus

The Paramus Fairway’s getting a fresh start.

An Amazon Fresh supermarket is set to replace the shuttered Fairway Market in Paramus, N.J.

The Jeff Bezos-owned e-commerce giant bought the former Fairway location out of bankruptcy auction along with another former Fairway store in Woodland Park for a total of $1.5 million last March, The Post previously reported. 

Amazon’s plans for the two locations were listed as confidential at the time, but came as the Seattle-based company, which also owns Whole Foods, was beginning to expand in the groceries space. 

But Amazon confirmed in November the former Woodland Park Fairway would be converted into an Amazon Fresh. And now, the Paramus location will go the same route, an Amazon spokesperson confirmed to NorthJersey.com. 

It’s not clear when opening day will be, and the company did not return The Post’s request for comment. 

Amazon opened its first Fresh store in Los Angeles’ Woodland Hills neighborhood in September. It’s since opened 11 other locations elsewhere in California and in Illinois, according to the tech giant’s website. 

Amazon Fresh is the company’s attempt to offer a mix of in-store and online grocery shopping while attracting a distinct demographic from Whole Foods by offering lower prices. Fresh stores also tend to feature more national staple brands like Coca-Cola and Kellogg’s than Whole Foods, which emphasizes organic food. 

As The Post previously reported, Amazon may be looking to scoop up some more Fairway locations to expand Amazon Fresh’s footprint in the Northeast. Only seven of Fairway’s 14 stores were sold at last year’s bankruptcy auction, including the two that went to Amazon. Village Supermarket, which operates Shoprite stores, acquired at least four of those locations as well as rights to the Fairway brand. 

Continue Reading

Trending