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Virgin Galactic shares plunge after Branson rules out further investment - TL;DR CNBC

Virgin Galactic shares plunge after Branson rules out further investment

Publishing timestamp: 2023-12-04 10:01:29


Summary

Richard Branson, the founder of Virgin Galactic, stated in an interview that his business empire no longer has the financial resources to invest further in the company due to the impact of the Covid-19 pandemic. As a result, Virgin Galactic shares plunged more than 10% in early trading. The company has announced cost-cutting measures, including job cuts and the suspension of commercial flights, in order to save cash for the development of a larger spacecraft. Despite being the second-largest shareholder in Virgin Galactic, Branson believes the company should have sufficient funds to operate independently.


Sentiment: NEGATIVE

Tickers: SPCE

Keywords: breaking news: businessmarketsspace industryinvestment strategyvirgin galactic holdings incaerospace and defense industrybusiness newsbreaking news: marketstransportationbreaking news: investing

Source: https://www.cnbc.com/2023/12/04/virgin-galactic-shares-plunge-in-premarket-after-branson-rules-out-further-investment.html


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