Virgin Orbit, once a high-flying example of both space-launch technology and SPAC-fueled investor frenzy, will close after selling its assets to four winning bidders of a U.S. bankruptcy auction.

A hearing to seek federal bankruptcy court approval is scheduled for May 24 with the related deals expected to close “shortly thereafter,” the new-space company said late May 23. The moves foreclose efforts to keep Virgin Orbit operating as its own business, which was management’s stated hope.

Rocket Lab concurrently announced its U.S. operations won the asset purchase agreement for Virgin Orbit’s Long Beach, California, production and manufacturing assets. Rocket Lab will pay $16.1 million for the 144,000-ft.2 headquarters and manufacturing complex known as the Conant Facility, as well as certain production assets, machinery and equipment there. The successful bid does not include the purchase of Virgin Orbit’s Boeing 747 aircraft, launch vehicles or mobile launch assets for its rockets, or other Virgin Orbit facilities, inventory and assets.

Along with Rocket Lab, whose U.S. operations are located near Virgin Orbit’s Long Beach headquarters, CNBC reported that proceedings of a May 22 bankruptcy court in Delaware netted $36 million for all of Virgin Orbit’s assets.

Stratolaunch was awarded its $17 million “stalking horse” bid for Virgin Orbit’s 747 rocket-launcher widebody, dubbed “Cosmic Girl,” according to the cable business channel. Stratolaunch, which plans to use the aircraft as a second launch and logistics support aircraft for hypersonic testing alongside its “Roc” carrier aircraft, says the deal remains to be finalized pending court approval.

Meanwhile, Launcher, a subsidiary of Vast Space, is purchasing the company’s facility in Mojave, California—as well as some machinery, equipment and inventory—for $2.7 million, according to CNBC.

A liquidation company called Inliper reportedly also took Virgin Orbit’s office equipment.

“As Virgin Orbit embarks on this path, the management and employees would like to extend their heartfelt gratitude to all stakeholders, including customers, partners, investors, and employees, for their support and dedication over the years,” a company statement said. “It is through their collective efforts that the company has been able to achieve significant milestones and make lasting contributions to the advancement of satellite launch in the United States and the United Kingdom.”

Rocket Lab said the combination of Virgin Orbit’s Long Beach assets with Rocket Lab’s existing production, manufacturing and test capabilities should advance production of Rocket Lab’s planned larger launch vehicle, called Neutron. Rocket Lab will not be integrating Virgin Orbit’s launch system within its existing launch services, the Electron rocket.

“With Neutron’s design and development well advanced, this transaction represents a capital expenditure savings opportunity to augment our production capability to bring Neutron to the launch pad quickly to serve our customers and their future success,” said Peter Beck, Rocket Lab’s CEO and founder. “Securing the lease to the Conant Facility adds to our existing presence in Long Beach and provides co-located engineering, manufacturing and test capabilities for our Neutron team.”

Virgin Orbit filed for Chapter 11 bankruptcy protection April 4 and shortly thereafter laid off around 85% of its workforce. But managers said they intended to keep the company going under new ownership and stressed they were working toward another launch. The company ran into serious financial problems following a failed launch attempt from the UK with its LauncherOne vehicle on Jan. 9.

Virgin Orbit’s finances have been star-crossed since its disappointing public debut on Dec. 30, 2021. A series of transactions—including a reverse merger with a special purpose acquisition company (SPAC)—left the startup with less than half the proceeds predicted when leaders had announced their dealmaking four months earlier. Gross proceeds were expected to be $483 million, according to the original announcement. Instead, the SPAC’s coffers provided $68 million, and direct investments from Boeing, private equity group AE Industrial Partners, Virgin Group, Mubadala Investment Co. and NextGen Acquisition Corp. II added $160 million.

Virgin Orbit was founded by Richard Branson and other investors in 2017. Although the first launch of LauncherOne, in May 2020, failed to reach orbit, the vehicle went on to place 33 satellites into orbit over 2021-22. The company had been expanding production of LauncherOne vehicles in Long Beach.

The company enjoyed a prolific marketing campaign early in its career, including numerous Aviation Week magazine covers and countless social media posts. But it will likely punctuate a more sobering period for the scores of new-space era launch startups and SPAC-based space debutantes, many of whom are suffering dwindling cash flow and stock market de-listings.

“Virgin Orbit’s legacy in the space industry will forever be remembered,” the Virgin Orbit announcement proclaimed May 23. “Its groundbreaking technologies, relentless pursuit of excellence, and unwavering commitment to advancing the frontiers of air launch have left an indelible mark on the industry.”