The Irresistible Allure of Space Stocks: Will iRocket Reach for the Stars?

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Ah, COVID-19, the unexpected boon for special purpose acquisition companies, or SPACs. In the dizzying years of 2020 and 2021, we saw more than 860 entities-those charming blank-check creations-take their bows on the stock stage, a leap that defies even the most optimistic theater critic. Once, there was but a solitary SPAC IPO in 2003, a mere flirting with public life; fast forward a decade and the stage was positively teeming.

Yet, dear investors, tread carefully. Many of these elaborate productions turned out to be less than stellar. Among the newly listed space stocks, the post-IPO plunge-oh, the sheer audacity-plunged to dizzying lows, with some daring to lose as much as 90% by 2022. Once singed, the investors grew hesitant, averting their gazes from not just SPACs but the entire celestial wonder that is the space industry.

But hold your horses! As we tiptoe into 2025, the air is charged with excitement; space stocks once again flicker with vitality, drawing in momentum traders with the fervor of moths to a flame. Wall Street, ever the opportunist, raises a glass to collective amnesia.

Enter stage left: iRocket, the belle of the upcoming IPO ball.

Introducing iRocket

iRocket positions itself as “a next-generation reusable space rocket developer,” loaded with ambition to snag a juicy slice of the $1.8 trillion global launch and propulsion pie-all neatly packaged with its patented MACH-i Landing Engine technology. This lovely little innovation promises a new class of Jekyll-and-Hyde-like liquid-fueled reusable rockets, dubbed Shockwave. Not to mention, they aim to court military contracts for solid rocket motors-a delightful twist if ever there was one.

With a wink, they claim an impressive $1 billion worth of letters of intent from an illustrious lineup of potential patrons eager to send their satellites skyward. Nevertheless, one must note that until this very week, their portfolio was decidedly more modest, showcasing a mere $18 million contract with the U.S. Air Force Research Laboratory-surely a trifle compared to their grandiose proclamations.

With assistance from BPGC Acquisition Corp.-a SPAC featuring the distinguished Wilbur Ross, former U.S. Secretary of Commerce-iRocket envisions an IPO in the latter part of 2025. Quite the ensemble cast!

The iRocket SPAC IPO: Premises and Promises

iRocket spruces itself up with a pre-IPO valuation of $400 million, glossing over any “potential earnouts” likely applying to BPGC and its pre-IPO backers. Recently, they trumpeted a new contract to launch up to 30 rockets for the novice Saudi space entity, SpaceBelt KSA, promising a remarkable $640 million for the favor. How wonderful! Or, perhaps, how terribly curious-does SpaceBelt KSA have any satellites: a question for another day.

A ravenous quest for the truth unveils that BPGC, alleged as being Cayman Islands-based, seems not yet to have waltzed onto a stock exchange stage-an intriguing absence for a company whose raison d’être is to ease the path for others into the public eye.

Some sources, bless their hearts, insist BPGC must be listed on the NYSE under ROSS. Yet my searches through the annals of finance yield naught; curious, indeed! CNBC reportedly asserts these charming charlatans have plans for an Nasdaq debut post-merger-thus reaffirming their elusive nature.

An intricate ballet of acquisition swirls around the merger plan of BPGC, where it intends to engage with four intriguing partners-two, perhaps, serving double duty as iRocket. The outcome: a new stock expected at $11.50 a share, or $10 with bells and whistles in the form of warrants. How delightfully convoluted!

As for the ultimate cost to investors? That, my friends, remains a cliffhanger until the IPO curtain rises later this year.

To Buy or Not to Buy the iRocket IPO?

bide your time until the IPO’s grand unveiling, scanning the company’s financials with a discerning eye before you even consider adding it to your carefully curated portfolio. Should it prove worth its weight in stars, well, then do indulge; but until then, I advise a firm resolve against folly.

In the interim, my dear compatriots, simply stay away. 🛸

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2025-08-09 14:52