AST SpaceMobile dips after direct stock deal to buy back convertible bonds

Satellite communications firm AST SpaceMobile's ASTS.O shares fall 2.7% to $51.8 premarket

ASTS issues 9.45 million shares in a registered direct offering at $53.22 apiece to certain holders of its convertible bonds due 2032

Stock closed up 6% at $53.22 on Tuesday

Proceeds to fund repurchase of $225 million of convertible bonds due 2032

ASTS is retiring about half of its 2032 convertible bonds, removing about 8.3 million underlying shares as well as nearly $63.8 million of remaining interest

With the transactions, ASTS is issuing about 1.04 million incremental shares

6 of 8 brokerages rate the stock "buy" or higher and 2 "hold"; median PT $42 - data compiled by LSEG

As of last close, ASTS stock up 152.2% YTD