Russian Private Space Company Success Rockets Hopes For IPO Within 3 Years - Director

MOSCOW (UrduPoint News / Sputnik - 08th December, 2021) Success Rockets, a Russian private space company, plans to make its initial public offering (IPO) in two or three years, Oleg Mansurov, the company's director general, said on Tuesday.

"IPO is possible in two or three years", Mansurov said at the "Future Technologies" FFIN Conference 2021, adding that it would depend on the company's performance.

The final decision on the date of the IPO is likely to be made at the end of next year, Mansurov said.

"We are now more interested in European stock markets. We plan to use SPAC," the company's director said.

According to Mansurov, space companies require significant financing in the first stages, so they prefer to raise capital via SPAC or a special purpose acquisition company.

"We need about 3 billion rubles ($40 million) to build a small rocket carrier and from 4 to 10 billion rubles of investment for satellite internet," Mansurov said.

A private company usually sets up a SPAC, which has the bare minimum needed to go public. The SPAC has its IPO and then buys the private company which set it up, thus eventually allowing both companies to be publicly traded.

At the moment, Success Rockets is focused on three areas - ultralight suborbital and orbital rocket manufacturing, small spacecraft and satellite constellations production, processing and analysis of space data. Capitalization will amount to $10 billion for the entire holding company and $3 billion for the core divisions of rockets, satellites and software, the director believes.