PROSPECTUS SUPPLEMENT NO.2 (to Prospectus dated September 15, 2021) | Filed pursuant to Rule 424(b)(3) Registration No: 333-259281 |
Momentus Inc.
Up to 41,654,148 Shares of Class A Common Stock
Up to 19,897,500 Shares of Class A Common Stock Issuable Upon Exercise of Warrants
and Up to 1,018,281 Shares of Class A Common Stock Issuable Upon Exercise of Options
and Up to 634,708 Shares of Class A Common Stock Issued Upon Exercise of Options
and Up to 272,500 Warrants to Purchase Shares of Class A Common Stock
This prospectus supplement supplements the prospectus dated September 15, 2021 (the “Prospectus”), which forms a part of our registration statement on Form S-1 (No. 333-259281). This prospectus supplement is being filed to update and supplement the information in the Prospectus with the information contained in our Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2021, filed with the Securities and Exchange Commission (the “SEC”) on November 10, 2021 (the “Quarterly Report”). Accordingly, we have attached the Quarterly Report to this prospectus supplement.
The Prospectus and this prospectus supplement relates to the offer and sale from time to time by the selling securityholders named in the Prospectus (the “Selling Securityholders”) of up to (A) 54,579,637 shares of our Class A common stock, par value $0.00001 per share (“Class A Stock”), which consists of (i) 495,000 shares of Class A Stock (the “Founder Shares”) originally issued in a private placement to SRC-NI Holdings, LLC (the “Sponsor”) in connection with the initial public offering (the “IPO”) of Stable Road Acquisition Corp. (“SRAC”) and subsequently distributed to certain equityholders of the Sponsor, (ii) 50,000 shares of Class A Stock (the “Underwriter Shares”) originally issued in a private placement to and Cantor Fitzgerald & Co. (“Cantor”) in connection with the IPO, (iii) 50,000 shares of Class A Stock (the “Finder Shares”) issued pursuant to a finder’s agreement dated June 28, 2020, (iv) 4,062,500 shares of Class A Stock originally issued to the Sponsor and SRAC PIPE Partners LLC in connection with the IPO, (v) 25,996,648 shares of Class A Stock issued pursuant to the Merger Agreement (as defined in the Prospectus), (vi) 11,000,000 shares of Common Stock issued to certain investors pursuant to subscription agreements dated July 15, 2021 (the “PIPE Shares”), (vii) 11,272,500 shares of Class A Stock issuable upon the exercise of 11,272,500 warrants originally issued in a private placement to the Sponsor and Cantor in connection with the IPO (the “Sponsor and Underwriter Private Warrants”) or in a private placement in connection with the Business Combination (as defined in the Prospectus) (the “PIPE Private Warrants”), in each case at an exercise price of $11.50 per share of Class A Stock (collectively, the “Private Warrants”), (viii) up to 1,018,281 shares of Class A Stock issuable upon the exercise of certain Rollover Options (as defined in the Prospectus), and (ix) 634,708 shares of Class A Stock issued upon the exercise of certain Rollover Options and (B) up to 272,500 Private Warrants.
In addition, the Prospectus relates to the offer and sale of up to 8,625,000 shares of Class A Stock that are issuable by us upon the exercise of 8,625,000 warrants originally issued in connection with the IPO at an exercise price of $11.50 per share of Class A Stock (the “Public Warrants” and, together with the Private Warrants, the “Warrants”).
Our Class A Stock and Public Warrants are listed on the Nasdaq Global Select Market under the symbols “MNTS” and “MNTSW,” respectively. On November 8, 2021, the last reported sales price of our Class A Stock was $10.91 per share and the last reported sales price of our Public Warrants was $2.44 per warrant.
This prospectus supplement should be read in conjunction with the Prospectus, and this prospectus supplement is qualified by reference to the Prospectus, except to the extent that the information provided by this prospectus supplement supersedes the information contained in the Prospectus.
This prospectus supplement is not complete without, and may not be delivered or utilized except in connection with, the Prospectus dated September 15, 2021 with respect to the securities described above, including any amendments or supplements thereto.
We are an “emerging growth company” as defined in Section 2(a) of the Securities Act of 1933, as amended, and, as such, have elected to comply with certain reduced disclosure and regulatory requirements.
Investing in our Class A Stock is highly speculative and involves a high degree of risk. You should consider carefully the risks and uncertainties in the section entitled “Risk Factors” beginning on page 8 of the Prospectus.
Neither The Securities And Exchange Commission Nor Any State Securities Commission Has Approved Or Disapproved Of These Securities Or Passed Upon The Adequacy Or Accuracy Of This Prospectus. Any Representation To The Contrary Is A Criminal Offense.
The date of this prospectus supplement is November 10, 2021.
x | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 84-1905538 | ||||
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | ||||
3901 N. First Street San Jose, California | 95134 | ||||
(Address of Principal Executive Offices) | (Zip Code) |
1345 Abbot Kinney Blvd. Venice, California | |||||
2020 | 90291 |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
Class A common stock | MNTS | The Nasdaq Capital Market LLC | ||||||
Warrants | MNTSW | The Nasdaq Capital Market LLC |
Large accelerated filer | o | Accelerated filer | o | ||||||||
Non-accelerated filer | x | Smaller reporting company | x | ||||||||
Emerging growth company | x |
Page | |||||
Condensed Consolidated Balance Sheets | |||||
Condensed Consolidated Statements of Operations | |||||
Condensed Consolidated Statements of Shareholders’ Equity (Deficit) | |||||
Condensed Consolidated Statements of Cash Flows | |||||
Notes to the Condensed Consolidated Financial Statements | |||||
Item 3. Quantitative and Qualitative Disclosures About Market Risk | |||||
September 30, 2021 | December 31, 2020 | ||||||||||
(unaudited) | |||||||||||
ASSETS | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | 178,059 | $ | 23,005 | |||||||
Restricted cash, current | 820 | 100 | |||||||||
Prepaids and other current assets | 10,408 | 4,508 | |||||||||
Total current assets | 189,287 | 27,613 | |||||||||
Property, machinery and equipment, net | 4,786 | 2,321 | |||||||||
Intangible assets, net | 344 | 305 | |||||||||
Operating right of use asset | 7,846 | 316 | |||||||||
Deferred offering costs | — | 2,610 | |||||||||
Restricted cash, non-current | 313 | 415 | |||||||||
Other non-current assets | 3,065 | 2,740 | |||||||||
Total assets | $ | 205,640 | $ | 36,320 | |||||||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||||||||
Accounts payable | $ | 4,755 | $ | 1,863 | |||||||
Accrued expenses | 6,733 | 3,064 | |||||||||
Loan payable, current | 17,613 | — | |||||||||
Contract liabilities, current | — | 1,914 | |||||||||
Operating lease liability, current | 1,146 | 254 | |||||||||
Other current liabilities | 5,066 | 220 | |||||||||
Total current liabilities | 35,313 | 7,314 | |||||||||
Contract liabilities, non-current | 1,554 | 711 | |||||||||
Warrant liability | 33,254 | 3,206 | |||||||||
SAFE notes | — | 314,440 | |||||||||
Operating lease liability, non-current | 7,565 | 72 | |||||||||
Other non-current liabilities | 437 | 49 | |||||||||
Total liabilities | 78,122 | 325,792 | |||||||||
Stockholders’ deficit: | |||||||||||
Common stock, $0.00001 par value; 250,000,000 shares authorized and 80,580,232 issued and outstanding as of September 30, 2021; 142,804,498 shares authorized and 62,510,690 issued and outstanding as of December 31, 2020 | 1 | 1 | |||||||||
Additional paid-in capital | 333,471 | 39,866 | |||||||||
Accumulated deficit | (205,954) | (329,338) | |||||||||
Total stockholders’ equity (deficit) | 127,518 | (289,472) | |||||||||
Total liabilities and stockholders’ equity (deficit) | $ | 205,640 | $ | 36,320 |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
Service revenue | $ | 200 | $ | — | $ | 330 | $ | — | |||||||||||||||
Cost of revenue | (184) | — | (135) | — | |||||||||||||||||||
Gross margin | 384 | — | 465 | — | |||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||
Research and development expenses | 9,047 | 5,377 | 39,747 | 13,758 | |||||||||||||||||||
Selling, general and administrative expenses | 12,057 | 4,056 | 35,802 | 7,478 | |||||||||||||||||||
Total operating expenses | 21,104 | 9,433 | 75,549 | 21,236 | |||||||||||||||||||
Loss from operations | (20,721) | (9,433) | (75,084) | (21,236) | |||||||||||||||||||
Other income (expense): | |||||||||||||||||||||||
Decrease (increase) in fair value of SAFE notes | 26,924 | (99,107) | 209,291 | (102,695) | |||||||||||||||||||
Decrease (increase) in fair value of warrants | (2,712) | (1,324) | 9,826 | (1,317) | |||||||||||||||||||
Interest income | — | 1 | 2 | 7 | |||||||||||||||||||
Interest expense | (4,328) | (67) | (8,685) | (145) | |||||||||||||||||||
SEC settlement | — | — | (7,000) | — | |||||||||||||||||||
Other income (expense) | (4,778) | (993) | (4,965) | (942) | |||||||||||||||||||
Total other income (expense) | 15,107 | (101,489) | 198,469 | (105,093) | |||||||||||||||||||
Income (loss) before income taxes | (5,614) | (110,923) | 123,385 | (126,329) | |||||||||||||||||||
Income tax provision | — | — | 1 | 1 | |||||||||||||||||||
Net income (loss) | $ | (5,614) | $ | (110,923) | $ | 123,384 | $ | (126,329) | |||||||||||||||
Net income (loss) per share, basic | $ | (0.09) | $ | (1.77) | $ | 2.06 | $ | (1.97) | |||||||||||||||
Net income (loss) per share, diluted | $ | (0.09) | $ | (1.77) | $ | 1.92 | $ | (1.97) | |||||||||||||||
Weighted average shares outstanding, basic | 60,589,566 | 62,722,340 | 59,873,199 | 64,244,006 | |||||||||||||||||||
Weighted average shares outstanding, diluted | 60,589,566 | 62,722,340 | 64,232,537 | 64,244,006 |
Preferred stock | FF Preferred stock | Common stock – Class A | Common stock – Class B | Treasury Stock | Common stock – Class A | Additional paid in capital | Accumulated deficit | Total stockholders’ equity (deficit) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2020 | 144,875,941 | — | 20,000,000 | — | 18,398,005 | — | 70,000,000 | — | — | — | — | $ | — | $ | 39,866 | $ | (329,338) | $ | (289,472) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retroactive application of recapitalization | (144,875,941) | — | (20,000,000) | — | (18,398,005) | — | (70,000,000) | — | — | — | 62,510,690 | 1 | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2020, as adjusted | — | $ | — | — | $ | — | — | $ | — | — | $ | — | — | $ | — | 62,510,690 | $ | 1 | $ | 39,866 | $ | (329,338) | $ | (289,472) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock upon exercise of stock options | — | — | — | — | — | — | — | — | — | — | 270,582 | — | 24 | — | 24 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation – Stock options and RSAs | — | — | — | — | — | — | — | — | — | — | — | — | 5,768 | — | 5,768 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | — | — | — | — | — | — | — | 64,671 | 64,671 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, March 31, 2021 | — | $ | — | — | $ | — | — | $ | — | — | $ | — | — | $ | — | 62,781,272 | $ | 1 | $ | 45,658 | $ | (264,667) | $ | (219,009) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock upon exercise of stock options | — | — | — | — | — | — | — | — | — | — | 39,515 | — | 11 | — | 11 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation – Stock options and RSAs | — | — | — | — | — | — | — | — | — | — | 2,344 | — | 2,344 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share repurchase | — | — | — | — | — | — | — | — | — | — | (25,601,733) | — | (22,000) | — | (22,000) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | — | — | — | — | — | — | — | 64,327 | 64,327 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, June 30, 2021 | — | $ | — | — | $ | — | — | $ | — | — | $ | — | — | $ | — | 37,219,054 | $ | — | $ | 26,013 | $ | (200,340) | — | $ | (174,326) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock upon exercise of stock options | — | — | — | — | — | — | — | — | — | — | 966,827 | $ | — | $ | 239 | $ | — | $ | 239 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation – Stock options and RSAs | — | — | — | — | — | — | — | — | — | — | — | $ | — | $ | 3,075 | $ | — | $ | 3,075 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Warrant conversion upon exercise | — | — | — | — | — | — | — | — | — | — | 638,125 | $ | — | $ | 7,001 | $ | — | $ | 7,001 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares issued upon conversion of SAFE Notes | — | — | — | — | — | — | — | — | — | — | 12,403,469 | $ | — | $ | 136,001 | $ | — | $ | 136,001 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share repurchase | — | — | — | — | — | — | — | — | — | — | — | $ | — | $ | (18,000) | $ | — | $ | (18,000) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock and warrants, in connection with PIPE | — | — | — | — | — | — | — | — | — | — | 11,000,000 | $ | — | $ | 79,529 | $ | — | $ | 79,529 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock and warrants, net of transaction costs, upon merger | — | — | — | — | — | — | — | — | — | — | 18,352,757 | $ | — | $ | 99,612 | $ | — | $ | 99,612 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | — | — | — | — | $ | — | $ | — | $ | (5,614) | $ | (5,614) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, September 30, 2021 | — | $ | — | — | $ | — | — | $ | — | — | $ | — | — | $ | — | 80,580,232 | $ | 1 | $ | 333,471 | $ | (205,954) | $ | 127,518 |
Preferred stock | FF Preferred stock | Common stock – Class A | Common stock – Class B | Treasury Stock | Common stock – Class A | Additional paid in capital | Accumulated deficit | Total stockholders’ deficit | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2019 | 144,875,941 | — | 20,000,000 | — | 15,493,658 | — | 80,000,000 | — | — | — | — | $ | — | $ | 37,004 | $ | (22,307) | $ | 14,698 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retroactive application of recapitalization | (144,875,941) | — | (20,000,000) | — | (15,493,658) | — | (80,000,000) | — | — | — | 64,244,007 | 1 | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2019, as adjusted | — | $ | — | — | $ | — | — | $ | — | — | $ | — | — | $ | — | 64,244,007 | $ | 1 | $ | 37,004 | $ | (22,307) | $ | 14,698 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock upon exercise of stock options | — | — | — | — | — | — | — | — | — | — | 177,345 | — | 7 | — | 7 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation – Stock options and RSAs | — | — | — | — | — | — | — | — | — | — | — | — | 102 | — | 102 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock contribution from co-founder | — | — | — | — | — | — | — | — | — | — | (2,467,415) | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
ASC 842 lease accounting adoption | — | — | — | — | — | — | — | — | — | — | — | — | — | (4) | (4) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | — | — | — | — | — | — | (6,255) | (6,255) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, March 31, 2020 | — | $ | — | — | $ | — | — | $ | — | — | $ | — | — | $ | — | 61,953,937 | $ | 1 | $ | 37,112 | $ | (28,566) | $ | 8,547 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock upon exercise of stock options | — | — | — | — | — | — | — | — | — | — | 17,956 | — | 5 | — | 5 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation – Stock options and RSAs | — | — | — | — | — | — | — | — | — | — | — | — | 167 | — | 167 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | — | — | — | — | — | — | (9,152) | (9,152) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, June 30, 2020 | — | $ | — | — | $ | — | — | $ | — | — | $ | — | — | $ | — | 61,971,893 | $ | 1 | $ | 37,285 | $ | (37,718) | $ | (432) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock upon exercise of stock options | — | — | — | — | — | — | — | — | — | — | 412,514 | — | 49 | — | 49 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation – Stock options and RSAs | — | — | — | — | — | — | — | — | — | — | — | — | 1,374 | — | 1,374 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | — | — | — | — | — | (110,923) | (110,923) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, September 30, 2020 | — | $ | — | — | $ | — | — | $ | — | — | $ | — | — | $ | — | 62,384,407 | $ | 1 | $ | 38,707 | $ | (148,640) | $ | (109,932) |
Nine Months Ended September 30, | |||||||||||
2021 | 2020 | ||||||||||
Cash flows from operating activities: | |||||||||||
Net income (loss) | $ | 123,384 | $ | (126,329) | |||||||
Adjustments to reconcile net income (loss) to net cash used in operating activities: | |||||||||||
Depreciation and amortization | 768 | 419 | |||||||||
Amortization of debt discount and issuance costs | 6,935 | 34 | |||||||||
(Decrease) increase in fair value of warrants | (9,826) | 1,317 | |||||||||
(Decrease) increase in fair value of SAFE notes | (209,291) | 102,695 | |||||||||
Impairment of prepaid launch costs | 9,450 | — | |||||||||
Stock-based compensation expense | 11,187 | 1,642 | |||||||||
Changes in operating assets and liabilities: | |||||||||||
Prepaids and other current assets | (15,350) | (4,873) | |||||||||
Other non-current assets | (2,908) | 360 | |||||||||
Accounts payable | 4,357 | 865 | |||||||||
Accrued expenses | 4,546 | 1,061 | |||||||||
Other current liabilities | 4,829 | 61 | |||||||||
Contract liabilities | (1,071) | 1,681 | |||||||||
Lease liability and right of use asset | 856 | — | |||||||||
Other non-current liabilities | 5 | — | |||||||||
Net cash used in operating activities | (72,129) | (21,068) | |||||||||
Cash flows from investing activities: | |||||||||||
Purchases of property, machinery and equipment | (2,835) | (1,245) | |||||||||
Purchases of intangible assets | (16) | (99) | |||||||||
Net cash used in investing activities | (2,852) | (1,345) | |||||||||
Cash flows from financing activities: | |||||||||||
Proceeds from issuance of SAFE notes | 30,853 | 44,650 | |||||||||
Proceeds from issuance of loan payable | 25,000 | 2,458 | |||||||||
Proceeds from exercise of stock options | 278 | 61 | |||||||||
Payment of notes payable | — | (1,015) | |||||||||
Payment of debt issuance costs | (144) | (37) | |||||||||
Payment of warrant issuance costs | (31) | (1) | |||||||||
Payment for share repurchase | (40,000) | — | |||||||||
Proceeds from PIPE | 110,000 | — | |||||||||
Proceeds from issuance of common stock upon Merger | 137,282 | — | |||||||||
Payments for transaction costs | (32,585) | — | |||||||||
Net cash provided by financing activities | 230,653 | 46,116 | |||||||||
Increase in cash, cash equivalents and restricted cash | 155,672 | 23,704 | |||||||||
Cash, cash equivalents and restricted cash, beginning of period | 23,520 | 13,002 | |||||||||
Cash, cash equivalents and restricted cash, end of period | $ | 179,191 | $ | 36,706 | |||||||
Supplemental disclosure of non-cash investing and financing activities | |||||||||||
Issuance of common stock related to conversion of SAFE notes | $ | 136,001 | $ | — | |||||||
Issuance of common stock related to exercise of warrant liabilities | $ | 7,001 | $ | — | |||||||
Reclassification of deferred offering costs | $ | 6,203 | $ | — | |||||||
Deferred offering costs in accounts payable and accrued expenses at period end | $ | — | $ | 979 | |||||||
Assumption of merger warrants liability | $ | 31,225 | $ | — | |||||||
Operating lease right-of-use assets in exchange for lease obligations | $ | 8,501 | $ | — | |||||||
Supplemental disclosure of cash flow information | |||||||||||
Cash paid for income taxes | $ | 1 | $ | 1 | |||||||
Cash paid for interest | $ | 1,750 | $ | 84 |
Three Months Ended September 30, 2021 | Nine Months Ended September 30, 2021 | Three and Nine Months Ended September 30, 2020 | |||||||||||||||
Options outstanding under stock incentive plan | 4,304,660 | — | 7,359,841 | ||||||||||||||
Options outstanding outside of stock incentive plan | — | — | 134,586 | ||||||||||||||
Common stock warrants | 20,206,069 | 19,897,500 | 499,534 | ||||||||||||||
SAFE notes outstanding (shares not reserved) | — | — | 13,909,900 | ||||||||||||||
Total | 24,510,729 | 19,897,500 | 21,903,861 |
(in thousands) | September 30, 2021 | December 31, 2020 | |||||||||
Prepaid launch costs, current | $ | — | $ | 2,260 | |||||||
Prepaid research and development | 5,491 | 1,453 | |||||||||
Prepaid insurance and other assets | 4,917 | 796 | |||||||||
Total | $ | 10,408 | $ | 4,508 |
(in thousands) | September 30, 2021 | December 31, 2020 | |||||||||
Computer equipment | $ | 178 | $ | 178 | |||||||
Furniture and fixtures | 206 | 206 | |||||||||
Leasehold improvements | 2,533 | 665 | |||||||||
Machinery and equipment | 3,136 | 1,936 | |||||||||
Construction in-progress | 245 | 118 | |||||||||
Property, machinery and equipment, gross | 6,299 | 3,103 | |||||||||
Less: accumulated depreciation | (1,513) | (782) | |||||||||
Property, machinery and equipment, net | $ | 4,786 | $ | 2,321 |
(in thousands) | Gross Value | Accumulated Amortization | Net Value | Weighted average remaining amortization period (in years) | ||||||||||||||||||||||
Patents/Intellectual Property | $ | 432 | $ | (88) | $ | 344 | 7.19 |
(in thousands) | Gross Value | Accumulated Amortization | Net Value | Weighted average remaining amortization period (in years) | ||||||||||||||||||||||
Patents/Intellectual Property | $ | 357 | $ | (51) | $ | 305 | 7.62 |
(in thousands) | |||||
Year ending December 31, | Amount | ||||
2021 (remainder) | $ | 14 | |||
2022 | 54 | ||||
2023 | 54 | ||||
2024 | 46 | ||||
2025 | 40 | ||||
Thereafter | 136 | ||||
Total | $ | 344 |
(in thousands) | Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
Operating lease cost | $ | 435 | $ | 68 | $ | 1,306 | $ | 204 | |||||||||||||||
Variable lease expense | 147 | 6 | 442 | 18 | |||||||||||||||||||
Short-term lease expense | 2 | 2 | 8 | 4 | |||||||||||||||||||
Total lease expense | $ | 585 | $ | 75 | $ | 1,757 | $ | 226 |
(in thousands) | As of September 30, 2021 | As of December 31, 2020 | |||||||||
Right of use asset in other non-current assets | $ | 7,846 | $ | 316 | |||||||
Other current liabilities | $ | 1,146 | $ | 254 | |||||||
Other non-current liabilities | 7,565 | 72 | |||||||||
Total lease liability | $ | 8,711 | $ | 326 |
(in thousands) | |||||
Remainder of 2021 | $ | 432 | |||
2022 | 1,561 | ||||
2023 | 1,533 | ||||
2024 | 1,580 | ||||
2025 | 1,627 | ||||
Thereafter | 3,700 | ||||
Total lease payments | 10,434 | ||||
Less: Imputed interest | (1,722) | ||||
Present value of lease liabilities | $ | 8,711 |
(in thousands) | September 30, 2021 | December 31, 2020 | |||||||||
Compensation expense | $ | 2,356 | $ | 1,371 | |||||||
Legal and other professional services | 3,434 | 268 | |||||||||
Research and development projects | 539 | 517 | |||||||||
Offering costs | — | 506 | |||||||||
Payroll tax expense | 328 | 328 | |||||||||
Other current expense | 76 | 74 | |||||||||
Total | $ | 6,733 | $ | 3,064 |
(in thousands) | September 30, 2021 | ||||
Gross Term Loan | $ | 25,000 | |||
Less: Unamortized debt discount and issuance costs | (8,887) | ||||
Promissory note | $ | 1,500 | |||
Net notes payable, (all current) | $ | 17,613 | |||
Shares | % | ||||||||||
Momentus Space, LLC unit holders | 50,419,505 | 63 | % | ||||||||
Public stockholders | 13,695,257 | 17 | % | ||||||||
SRAC and its affiliates | 4,657,500 | 6 | % | ||||||||
PIPE investors | 11,000,000 | 14 | % | ||||||||
Total | 79,772,262 | 100 | % |
(in thousands, except per share data) | Total Options | Weighted- Average Exercise Price Per Share | Weighted- Average Remaining Contractual Term (in years) | Aggregate Intrinsic Value | ||||||||||||||||||||||||||||||||||||||||
Outstanding as of December 31, 2020 | 7,422,996 | $ | 0.20 | 8.49 | $ | 130,564 | ||||||||||||||||||||||||||||||||||||||
Vested exercised | (1,297,711) | $ | 15,263 | |||||||||||||||||||||||||||||||||||||||||
Forfeitures | (1,820,625) | |||||||||||||||||||||||||||||||||||||||||||
Outstanding as of September 30, 2021 | 4,304,660 | $ | 0.27 | 7.64 | $ | 44,275 | ||||||||||||||||||||||||||||||||||||||
Exercisable as of September 30, 2021 | 2,662,485 | $ | 0.26 | 7.28 | $ | 27,526 | ||||||||||||||||||||||||||||||||||||||
Vested and expected to vest as of September 30, 2021 | 4,304,660 | $ | 0.27 | 7.64 | $ | 44,275 |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
(in thousands) | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||
Research and development expenses | $ | 52 | $ | 34 | $ | 186 | $ | 109 | |||||||||||||||
Selling, general and administrative expenses | 3,023 | 1,339 | 11,001 | 1,533 | |||||||||||||||||||
$ | 3,075 | $ | 1,374 | $ | 11,187 | $ | 1,642 |
Nine Months Ended September 30, | |||||||||||
2021 | 2020 | ||||||||||
Expected term (in years) | N/A | 5.03 – 6.23 | |||||||||
Risk-free interest rate | N/A | 0.27% – 1.36% | |||||||||
Expected volatility | N/A | 33.89% – 51.78% | |||||||||
Dividend yield | N/A | 0.00% | |||||||||
Fair value on grant date | N/A | $0.32 – $4.70 |
Basic and Diluted Net Income (Loss) Per Share | Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||
(in thousands, except per share data) | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||
Numerator: | |||||||||||||||||||||||
Net income (loss) | $ | (5,614) | $ | (110,923) | $ | 123,384 | $ | (126,329) | |||||||||||||||
Denominator: | |||||||||||||||||||||||
Denominator for basic net income (loss) per share -weighted average shares outstanding | 60,589,566 | 62,722,340 | 59,873,199 | 64,244,006 | |||||||||||||||||||
Dilutive options and unvested stock units outstanding | — | — | 4,056,805 | — | |||||||||||||||||||
Dilutive warrants outstanding | — | — | 302,533 | — | |||||||||||||||||||
Denominator for diluted net income (loss) per share - adjusted weighted average shares outstanding | 60,589,566 | 62,722,340 | 64,232,537 | 64,244,006 | |||||||||||||||||||
Net income (loss) per share - diluted | $ | (0.09) | $ | (1.77) | $ | 1.92 | $ | (1.97) |
Three Months Ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 2021 | 2020 | $ Change | % Change | ||||||||||||||||||||||||||||||||||||||||
Service revenue | $ | 200 | $ | — | $ | 200 | N/A | |||||||||||||||||||||||||||||||||||||
Cost of revenue | (184) | — | (184) | N/A | ||||||||||||||||||||||||||||||||||||||||
Gross margin | 384 | — | 384 | N/A | ||||||||||||||||||||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||||||||||||||||||||
Research and development expenses | 9,047 | 5,377 | 3,670 | 68 | % | |||||||||||||||||||||||||||||||||||||||
Selling, general and administrative expenses | 12,057 | 4,056 | 8,001 | 197 | % | |||||||||||||||||||||||||||||||||||||||
Operating loss | (20,721) | (9,433) | (11,288) | 120 | % | |||||||||||||||||||||||||||||||||||||||
Other income (expense): | ||||||||||||||||||||||||||||||||||||||||||||
Decrease (increase) in fair value of SAFE notes | 26,924 | (99,107) | 126,031 | Not meaningful | ||||||||||||||||||||||||||||||||||||||||
Increase in fair value of warrants | (2,712) | (1,324) | (1,388) | 105 | % | |||||||||||||||||||||||||||||||||||||||
Interest income | — | 1 | (1) | -100 | % | |||||||||||||||||||||||||||||||||||||||
Interest expense | (4,328) | (67) | (4,261) | 6360 | % | |||||||||||||||||||||||||||||||||||||||
Other income (expense) | (4,778) | (993) | (3,785) | 381 | % | |||||||||||||||||||||||||||||||||||||||
Income (loss) before income taxes | (5,615) | (110,923) | 105,308 | (95 | %) | |||||||||||||||||||||||||||||||||||||||
Income tax expense | — | — | — | N/A | ||||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | (5,615) | $ | (110,923) | 105,308 | (95 | %) |
Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 2021 | 2020 | $ Change | % Change | ||||||||||||||||||||||||||||||||||||||||
Service revenue | $ | 330 | $ | — | $ | 330 | N/A | |||||||||||||||||||||||||||||||||||||
Cost of revenue | (135) | — | (135) | N/A | ||||||||||||||||||||||||||||||||||||||||
Gross margin | 465 | — | 465 | N/A | ||||||||||||||||||||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||||||||||||||||||||
Research and development expenses | 39,747 | 13,758 | 25,989 | 189 | % | |||||||||||||||||||||||||||||||||||||||
Selling, general and administrative expenses | 35,802 | 7,478 | 28,324 | 379 | % | |||||||||||||||||||||||||||||||||||||||
Operating loss | (75,084) | (21,236) | (53,848) | 254 | % | |||||||||||||||||||||||||||||||||||||||
Other income (expense): | ||||||||||||||||||||||||||||||||||||||||||||
Decrease (increase) in fair value of SAFE notes | 209,291 | (102,695) | 311,986 | Not meaningful | ||||||||||||||||||||||||||||||||||||||||
Decrease (increase) in fair value of warrants | 9,826 | (1,317) | 11,143 | Not meaningful | ||||||||||||||||||||||||||||||||||||||||
Interest income | 2 | 7 | (5) | -71 | % | |||||||||||||||||||||||||||||||||||||||
Interest expense | (8,685) | (145) | (8,540) | Not meaningful | ||||||||||||||||||||||||||||||||||||||||
SEC settlement | (7,000) | — | (7,000) | N/A | ||||||||||||||||||||||||||||||||||||||||
Other income (expense) | (4,965) | (942) | (4,023) | 427 | % | |||||||||||||||||||||||||||||||||||||||
Income (loss) before income taxes | 123,385 | (126,329) | 249,714 | (198 | %) | |||||||||||||||||||||||||||||||||||||||
Income tax expense | 1 | 1 | — | 0 | % | |||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | 123,384 | $ | (126,329) | 249,713 | (198 | %) |
Nine Months Ended September 30, | |||||||||||||||||
(in thousands) | 2021 | 2020 | |||||||||||||||
Net cash provided by (used in) | |||||||||||||||||
Operating activities | $ | (72,129) | $ | (21,068) | |||||||||||||
Investing activities | (2,852) | (1,345) | |||||||||||||||
Financing activities | 230,653 | 46,116 | |||||||||||||||
Net change in cash and cash equivalents | $ | 155,672 | $ | 23,703 |
Payments Due by Period(1) | |||||||||||||||||
(in thousands) | Total | <1 year | 1 – 3 years | 3 – 5 years | >5 years | ||||||||||||
Operating lease obligations | $ | 10,434 | $ | 432 | $ | 3,094 | $ | 3,207 | $ | 3,700 | |||||||
Purchase obligations | $ | 16,646 | $ | 7,646 | $ | 9,000 | $ | — | $ | — | |||||||
SEC Settlement | $ | 5,000 | $ | 5,000 | $ | — | $ | — | $ | — | |||||||
Principal and Minimum Interest Payments | $ | 27,750 | $ | 27,750 | $ | — | $ | — | $ | — | |||||||
Total Obligations | $ | 59,830 | $ | 40,828 | $ | 12,094 | $ | 3,207 | $ | 3,700 |
Exhibit Number | Description of Exhibit | |||||||
2.1† | ||||||||
3.1 | ||||||||
3.2 | ||||||||
4.1 | ||||||||
4.2 | ||||||||
10.1 | ||||||||
10.2 | ||||||||
10.3 | ||||||||
10.4 | ||||||||
10.5 | ||||||||
10.6 | ||||||||
10.7 | ||||||||
10.8 | ||||||||
10.9 | ||||||||
10.10 | ||||||||
10.11 | ||||||||
10.12 | ||||||||
31.1** | ||||||||
31.2** | ||||||||
32.1*** | ||||||||
32.2*** | ||||||||
101.INS** | Inline XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | |||||||
101.SCH** | XBRL Taxonomy Extension Schema Document | |||||||
101.CAL** | XBRL Taxonomy Extension Calculation Linkbase Document | |||||||
101.LAB** | XBRL Taxonomy Extension Label Linkbase Document | |||||||
101.PRE** | XBRL Taxonomy Extension Presentation Linkbase Document | |||||||
101.DEF** | XBRL Taxonomy Extension Definition Linkbase Document | |||||||
104** | Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101) |
MOMENTUS INC. | |||||||||||
Date: November 9, 2021 | By: | /s/ John Rood | |||||||||
Name: | John Rood | ||||||||||
Title: | Chief Executive Officer (Principal Executive Officer) | ||||||||||
Date: November 9, 2021 | By: | /s/ Jikun Kim | |||||||||
Name: | Jikun Kim | ||||||||||
Title: | Chief Financial Officer (Principal Financial and Accounting Officer) |