Rocket Lab (RKLB) Stock: Why The Price Increased 4.73% Today

By Amit Chowdhry ● Apr 12, 2022
  • The stock price of Rocket Lab USA Inc (NASDAQ: RKLB) increased by 4.73% today. This is why.

The stock price of Rocket Lab USA Inc (NASDAQ: RKLB) increased by 4.73% today. Investors are responding positively to Rocket Lab breaking ground on the construction of a state-of-the-art rocket production complex where the company’s Neutron launch vehicle will be manufactured.

The 250,000 square foot Neutron Production Complex is being constructed on a 28-acre site located adjacent to the NASA Wallops Flight Facility and Mid-Atlantic Regional Spaceport on Virginia’s Eastern Shore. And the complex will support Neutron production, assembly, and integration, and is expected to bring up to 250 highly-skilled roles to the region. And the construction will also soon begin on a launchpad for Neutron at the southern end of Wallops Island, near Rocket Lab’s existing launch pad for the Electron rocket.

Rocket Lab selected Virginia as the location of its Neutron production complex and launch site due to the location’s ability to support frequent launch opportunities, as well as continued support from the Commonwealth of Virginia. And through the development of Launch Complex 2 for Electron and now the Neutron program, Rocket Lab has built a solid partnership with Virginia with support from the Virginia Economic Development Partnership working alongside Accomack County, the Virginia Commercial Space Flight Authority (Virginia Space), and the General Assembly’s Major Employment and Investment (MEI) Project Approval Commission. As part of the Commonwealth’s support for the Neutron program, $30 million has been set aside for infrastructure and operational systems improvements to the Mid-Atlantic Regional Spaceport, and with $15 million from the MEI Project Approval Commission for site improvements and building construction in support of Neutron.

KEY QUOTE:

“Neutron is a next-generation rocket designed to serve the needs of the civil, commercial, and national security space markets and we’re proud to be delivering that capability from right here in Virginia. Today, we take a major step toward resilient and assured access to space for the nation – a capability that has become increasingly urgent in recent times. We are excited to grow Rocket Lab’s presence in Wallops, to add highly-skilled jobs to the local economy, and to play a part in reinforcing the Eastern Shore’s strong legacy as an aerospace hub. We are grateful for the continued support of the Commonwealth of Virginia and Accomack County for its enthusiasm in helping to establish Rocket Lab and Neutron on the Eastern Shore.”

— Rocket Lab founder and CEO Peter Beck

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.