Billionaire Richard Branson’s Virgin Group said on Monday that it may sell up to 25 million shares of space tourism company Virgin Galactic Holdings Inc to raise funds amid the COVID-19 pandemic.
The company said it intends to use the proceeds to support its portfolio of global leisure, holiday, and travel businesses that have been affected by the impact of CCP (Chinese Communist Party) virus, commonly known as novel coronavirus.
Shares of Virgin Galactic, which have gained 69 percent this year, were down 3.1 percent at $19.54 in afternoon trade.
Based on the closing price on May 8, the offering would raise as much as $504.5 million.
The company, which aims to offer the first commercial space flight later this year, said in April it would keep running as a critical infrastructure business during the pandemic.
By Sanjana Shivdas
Epoch Times staff contributed to this report.