TLDR
- Intuitive Machines (LUNR) stock fell ~15% on Wednesday after announcing a $175 million equity raise.
- The company sold 11.6 million shares to institutional investors at $15.12 per share — a 20% discount to the prior close of $18.90.
- The raise follows Intuitive’s $800 million acquisition of Lanteris Space Systems, which closed in January.
- Proceeds will fund communications and data-processing networks, Near Space Network services, and on-orbit data centers.
- The deal closes February 27, and combined with shares issued for Lanteris, total dilution could be around 26.5%.
Intuitive Machines (LUNR) stock dropped roughly 15% on Wednesday, hitting $16.04, after the company announced it was raising $175 million through a new stock sale.
Intuitive Machines, Inc., LUNR
The Houston-based lunar tech company sold approximately 11.6 million shares to institutional investors at $15.12 per share. That price is a 20% discount to Tuesday’s closing price of $18.90.
That kind of discount tends to rattle investors — and Wednesday was no different.
The equity raise comes on the heels of Intuitive’s $800 million acquisition of Lanteris Space Systems, which closed in January. Intuitive paid $450 million in cash and $350 million in stock to acquire Advent’s satellite-building unit.
That cash payment took a meaningful bite out of the company’s $622 million bank account. Exactly how much will become clearer when Intuitive reports earnings on March 19.
The new capital is intended to cover the costs of building out what Intuitive calls its “Near Space Network” — a satellite communications system between Earth and the moon, backed by a $4.8 billion NASA contract.
Management said the funds will also go toward scaling on-orbit data centers and expanding communications and data-processing infrastructure. The company is positioning itself to support both upcoming lunar and Mars programs.
Dilution Concerns Weigh on Investors
Beyond the discount, investors are also digesting the dilution math. The 11.6 million shares from this offering, combined with an estimated 19.9 million shares issued to Advent as part of the Lanteris deal, puts the total new share count at roughly 31.5 million.
That works out to approximately 26.5% dilution — a number that stings for existing holders.
Intuitive currently has around 203.2 million shares outstanding, giving it a market cap of approximately $3.8 billion as of Tuesday’s close.
Deal Expected to Close Friday
The transaction is expected to close on February 27, 2026. Once it does, the 11.6 million new shares will be added to the outstanding count immediately.
Year-to-date, LUNR is still up around 16% despite Wednesday’s drop. Average daily trading volume sits near 10.3 million shares, and the stock carries a “Buy” technical sentiment signal.
The company has not yet identified the institutional investors involved in the raise.
Intuitive Machines is scheduled to report earnings on March 19, which should provide more clarity on the cash position following the Lanteris acquisition.
Considering a new stock? You may want to see what’s on our watchlist first.
Our team at Knockout Stocks follows top-performing analysts and market-moving trends to spot potential winners early. We’ve identified five stocks gaining quiet attention that could be worth watching now. Create your free account to unlock the full report and get ongoing stock insights.Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
