Space startup Orbit2Orbit to go public via reverse takeover of Credissential
What's the deal? Canada's CredissentialDealroom has a profile for this one. Try Dealroom → (CSE: WHIP) has signed a binding letter agreement to acquire all shares of Australia's Orbit2OrbitDealroom has a profile for this one. Try Dealroom → Pty Ltd. The deal is structured as a reverse takeover, meaning Orbit2Orbit will effectively go public and its business will continue under the resulting issuer.
How does it work? Orbit2Orbit shareholders will receive one common share in the resulting issuer for each of their shares, subject to a final exchange ratio. Credissential intends to complete the acquisition through one or more exchange offers, though the final structure remains open to legal, tax, and accounting considerations.
By the numbers: Credissential currently has 6,837,831 common shares outstanding, plus warrants and $150,000 in 12% convertible debentures. Orbit2Orbit has 11,000,000 shares, AUD$300,000 in SAFE notes, and $1,550,000 in convertible notes, all of which convert to shares before closing.
What changes? Under the deal, and assuming full subscription in a planned private placement, existing Orbit2Orbit securityholders would own roughly 52.7% of the resulting issuer. Holders of subscription receipts would hold about 19.9%.
Why now? The transaction constitutes a "Fundamental Change" under Canadian Securities Exchange policies, giving a private Australian company a listed vehicle on the CSE.
The signal: Reverse takeovers remain a common route for smaller companies to reach public markets without a traditional listing. For Orbit2Orbit, it offers a faster path to public capital by taking control of an already-listed shell.
Read more: Stockwatch
Image credit: NASA Goddard Photo and Video
