Hedge Funds

Virgin Orbit crashed in the UK – here’s why this hedge fund is shorting its sister firm

Bireme Capital is betting against Sir Richard Branson's space tourism company Virgin Galactic

This short-seller says that delays and a high cash burn rate make Virgin Galactic a good target
This short-seller says that delays and a high cash burn rate make Virgin Galactic a good target Photo: Drew Angerer/Getty Images

A Philadelphia-based hedge fund is betting against Sir Richard Branson's spaceflight company Virgin Galactic, as shares in sister firm Virgin Orbit fall on the back of a failed launch attempt.

After booking 35% profits on a long Twitter bet in October 2022, Bireme Capital expanded its short book to end the year with 36% in gains. Virgin Galactic is now another target.

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