Pursuant to the deal, Inflection Point (IPAX), which currently holds ~$330M of cash in trust, will combine with Intuitive Machines. The pro forma implied enterprise value of the combined entity is ~$815M.
Subject to customary closing conditions, the proposed deal is likely to complete in the first quarter of 2023.
Upon the closing of the transaction, the combined company will be named Intuitive Machines, with its securities to be listed on Nasdaq. Intuitive Machines' existing equity security holders are expected to hold ~62% of the issued and outstanding shares of common stock of the combined company following deal closure.
Based in Houston, Intuitive Machines provides data and technology, including small spacecraft and robots, to support lunar missions by the NASA and others. It currently has $188M in contracted backlog and expects to generate ~$102M in revenue in 2022.
The potential merger comes at a time when both space-exploration startups and SPACs face downturns amid rising interest rates and the stock-market selloff. Shares of Virgin Galactic (SPCE), Astra Space (ASTR) and other publicly traded space companies have fallen lately.