Astra Space, Inc. (ASTR) Misled the Investing Public About its Business Prospects
Robbins LLP is investigating Astra Space, Inc. (NASDAQ: ASTR) f/k/a Holicity Inc. (NASDAQ: HOL) and its officers and directors to determine if they breached their fiduciary duties and violated securities laws in connection with its ability to successfully launch. Astra Space purportedly operates as an operational space launch company.
According to a class action complaint filed against Astra Space, on June 30, 2021, Astra Space and Holicity Inc., a special purpose acquisition company, merged. During the class period, defendants touted Astra Company’s ability to launch “anywhere in the world in 24 hours” and overstated the effectiveness and reliability of its designs, among other things.
On December 29, 2021, researcher Kerrisdale Capital released a report entitled “Astra Space, Inc. (ASTR): Headed for Dis-Astra,” which alleged myriad issues with the Company. The report explained that Astra cannot launch from “anywhere in the world.” In the U.S., for example, Astra can only launch from a FAA-licensed commercial spaceport approved for vertical launch. Further, the report indicated that Astra’s forecast of 300 launches per year is highly speculative for many reasons, not the least of which is lack of market demand. The report noted that Astra has had only one successful orbital test flight and examined Astra’s design failures. On this news, shares of Astra stock fell $1.10 per share, or approximately 14%, to close at $6.61 per share on December 29, 2021.
Next Steps: If you own shares of Astra Space, Inc. (ASTR) submit a form to obtain more informaiton about your legal rights.
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