Virgin Orbit enters $17 million 'stalking horse' bid to sell aircraft assets

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Virgin Orbit enters $17 million 'stalking horse' bid to sell aircraft assets
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Bankrupt satellite launch company Virgin Orbit said on Tuesday it entered into a 'stalking horse' agreement with Stratolaunch to sell mainly its aircraft assets, including the 'Cosmic Girl' carrier aircraft, for $17 million in cash.

The Virgin Orbit building is seen in Long Beach, California, U.S., March 22, 2023. REUTERS/Mike Blake/File Photo/File Photo

May 16 - Bankrupt satellite launch company Virgin Orbit said on Tuesday it entered into a "stalking horse" agreement with Stratolaunch to sell mainly its aircraft assets, including the "Cosmic Girl" carrier aircraft, for $17 million in cash. A stalking horse bid is used as a starting bid or minimally accepted offer that other interested bidders must surpass if they want to buy the asset or company.

In a court filing, Virgin Orbit said the bid does not prevent going concern bidders from making bids for all its assets, including the ones Stratolaunch is bidding for. The company said the bankruptcy marketing process has also generated considerable interest in its assets other than carrier aircraft. The deadline to submit bids for its assets is 12 p.m. ET on May 19.

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