AST SpaceMobile, Inc. has announced the pricing of a private offering of $1.0 billion of convertible senior notes due 2036, which has been increased from the previously announced $850.0 million principal amount of notes. The initial conversion price of the notes is approximately $96.30 per share of AST SpaceMobile’s class A common stock, representing a premium of approximately 22.5% to the last reported sale price on October 21, 2025.
The net proceeds from the notes offering are estimated to be approximately $981.9 million (or approximately $1,129.2 million if the initial purchasers’ option to purchase additional notes is exercised in full), after deducting the initial purchasers’ discounts and commissions and estimated offering expenses payable by AST SpaceMobile. The company intends to use the net proceeds for general corporate purposes, including funding the deployment of its worldwide constellation of satellites.
The notes will accrue interest at an annual rate of 2.00%, payable semiannually, and will mature on January 15, 2036, unless earlier converted, redeemed, or repurchased. Noteholders will have the right to convert their notes under specified conditions, and the initial conversion rate will be 10.3845 shares of AST SpaceMobile’s class A common stock per $1,000 principal amount of notes.
In a separate announcement, AST SpaceMobile also disclosed the pricing of its previously announced registered direct offering of approximately 2.0 million shares of its class A common stock at a price of $78.61 per share. The company intends to use the net proceeds from the registered direct offering, together with cash on hand, to repurchase $50.0 million aggregate principal amount of its existing 4.25% convertible senior notes due 2032. Additionally, AST SpaceMobile entered into separate, privately negotiated transactions to repurchase $50.0 million principal amount of the existing notes for cash.
The completion of the notes offering is not contingent on the completion of the registered direct offering and the existing convertible notes repurchases, and vice versa.
AST SpaceMobile is focused on building the first and only global cellular broadband network in space to operate directly with standard, unmodified mobile devices and designed for both commercial and government applications. As a result of these announcements, the company's shares have moved 0.52% on the market, and are now trading at a price of $71.72. For more information, read the company's full 8-K submission here.
