Shares of Maxar Technologies Inc (NYSE:MAXR) rocketed by double-digits on Thursday after NASA selected the tech company to help build its Gateway platform in lunar orbit that will shuttle astronauts to the moon.
Maxar is NASA’s first contractor to be selected for the new lunar program that will establish an outpost starting in 2024 on the moon’s south pole -- which is also a precursor to human missions to Mars.
The stock on Thursday closed up 28% to $8.85 a share on heavy volume. On Friday, shares dipped nearly 9% to $8.08, apparently on some profit-taking by investors.
The NASA contract amounts to $375 million, and Maxar will develop power, propulsion and communications components for the lunar mobile command and service module.
Nasa said the power and propulsion element is a 50-kilowatt solar electric propulsion spacecraft, three times more powerful than current technologies.
“Our power and propulsion element partnership enables NASA to leverage Maxar’s commercial capabilities to cost-effectively expedite plans for sustainable exploration of the Moon, while also providing significant benefits to American industry,” said CEO Dan Jablonsky.
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