AST SpaceMobile Shares Rise 23% After Partnership With Verizon

By Chris Wack

AST SpaceMobile shares were up 23% to $6.58 after the company entered into a strategic partnership with a commitment of $100 million from Verizon to provide direct-to-cellular AST SpaceMobile service when needed for Verizon customers.

The stock closed Tuesday's session 12.5% higher, and is up 27% in the past 12 months.

The company said the new partnership with Verizon will enable it to target 100% coverage of the continental U.S. on premium 850 MHz spectrum with two major U.S. mobile operators.

The $100 million Verizon commitment includes $65 million of commercial prepayments, $45 million of which are subject to certain conditions, and $35 million of convertible notes.

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(END) Dow Jones Newswires

05-29-24 1003ET