AST SpaceMobile, Inc. (NASDAQ: ASTS) completed a private offering of $1.0 billion in aggregate principal amount of 1.625% Convertible Senior Notes due 2034, according to a press release statement.

The notes were issued on July 20, 2026, under an indenture with U.S. Bank Trust Company, National Association serving as trustee. The notes mature on February 1, 2034, and carry interest at 1.625% per year, payable semiannually on February 1 and August 1, beginning February 1, 2027.

The company also granted initial purchasers an option to buy up to an additional $150 million in principal amount of notes, exercisable within a 13-day period beginning July 20, 2026. Notes from that option are not included in the $1.0 billion already issued.

The notes are convertible at an initial rate of 12.5672 shares of Class A common stock per $1,000 principal amount, equal to an initial conversion price of approximately $79.57 per share. That conversion price represents a 20% premium to the last reported sale price of the company's Class A common stock on the Nasdaq Global Select Market on July 15, 2026.

The notes are general unsecured obligations of the company. AST SpaceMobile may satisfy conversion obligations through cash, shares of Class A common stock, or a combination of both, at its election. The company may not redeem the notes prior to maturity, and no sinking fund has been established.

In the event of a fundamental change, holders may require the company to repurchase the notes at 100% of their principal amount, plus accrued and unpaid interest.