Virgin Orbit auctions $36 mln in remaining assets as company folds

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Richard Branson's bankrupt satellite launch firm, Virgin Orbit, on Tuesday revealed that it was closing for good after a $36.4 million asset sale, including an agreement to sell the bulk of its Long Beach, California, headquarters to small-launch firm Rocket Lab USA Inc.

Rocket Lab, the seasoned small-rocket company whose headquarters is less than a mile from Virgin Orbit's, won the bankrupt rocket company's primary manufacturing site for $16 million during an auction held on Monday, according to a court filing disclosing the results of a weeks-long Chapter 11 bid process.

In a statement thanking its employees, investors and other stakeholders, Virgin Orbit said it will sell its assets to a total of four winning bidders and cease operations. Founded by billionaire Branson to send small satellites into space, Virgin Orbit laid off 85% of its some 750 employees in March andin early April after the company struggled to secure long-term funding following a failed launch from Britain in January.

Virgin Orbit also plans to sell its aircraft assets, including the modified Boeing 747 "Cosmic Girl" carrier aircraft, to hypersonics firm Stratolaunch for $17 million, the filing said. Stratolaunch had been a designatedVirgin Orbit's primary launch site in California's Mojave Desert will be sold to rocket engine and spacecraft startup Launcher Inc.

 

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