Momentus Inc. Material Event - What Happened

Hey everyone, let's break down what's going on with Momentus Inc. in a way that makes sense, without all the confusing business talk. Think of this as me explaining a big news story to a friend over coffee.

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1. What happened? (The actual event, in plain English)

Okay, so here's the big news: Momentus has changed the rules of a financial agreement they have with an investor called Yield Point NY LLC. This agreement allows Yield Point to buy Momentus stock from the company over time. The main changes are that the price at which Yield Point can buy shares is no longer a fixed $1.24 per share, but will now vary based on the stock's recent trading price, and there are new limits on how many shares Yield Point can buy at once.

2. When did it happen?

This amendment to their agreement was signed on December 23, 2025. The original agreement with Yield Point was made on September 25, 2025.

3. Why did it happen? (The backstory and context)

So, why did they do this, or why did this situation come up? Well, to understand it, you need to know that Momentus, like many growing companies, needs ways to raise money to fund its operations and future projects. They had an existing agreement (from September 2025) with Yield Point that allowed them to sell shares to this investor over time, essentially getting cash when they need it. This amendment adjusts the terms of that ongoing financing. It likely gives Momentus more flexibility in how they raise money, especially if their stock price changes, and helps manage the impact of these share sales on the market.

4. Why does this matter? (The "so what?" and significance)

Why should you care about this? Because this isn't just some small thing; it actually changes how Momentus can raise money and how many new shares might be issued. By changing the purchase price from a fixed $1.24 to a variable price (specifically, 94% of the lowest trading price over a few days), Momentus might be able to raise funds more effectively, especially if their stock price fluctuates. The new limits on how many shares Yield Point can buy at one time also help prevent a sudden flood of new shares hitting the market, which could otherwise push the stock price down too quickly.

5. Who is affected? (Employees, customers, investors, etc.)

Who's feeling this? Pretty much everyone connected to Momentus, but especially:

• Momentus Employees: Indirectly, if this agreement helps the company maintain financial stability and fund its operations, which secures jobs and future projects.
• Momentus Customers: Unlikely to be directly affected by this financial agreement, as it pertains to company financing rather than operations or services.
• Investors/Shareholders: This is a significant change for shareholders. The shift from a fixed price of $1.24 to a variable price (94% of the lowest trading price) means that if Momentus's stock price drops below $1.24, Yield Point could buy shares at an even lower price. This could lead to more shares being issued (dilution) to raise the same amount of money. However, the new limits on how many shares can be sold at once are generally a good thing, as they help manage the potential downward pressure on the stock price from these sales.
• The Space Industry: No direct impact on the broader space industry from this financial agreement.

6. What happens next? (Immediate and future implications)

So, what's the game plan now? Looking ahead, we can expect:

• Immediate Steps: Momentus will continue to operate under these new, amended terms for their financing agreement with Yield Point. They will use this agreement as a tool to raise capital as needed.
• Future Outlook: This adjusted agreement provides Momentus with a more flexible way to secure funding. The company will likely continue to utilize this mechanism to support its ongoing operations and growth initiatives.
• Announcements to Watch For: Investors should keep an eye on any future announcements regarding capital raises or "put exercises" (when Yield Point buys shares from Momentus) to see how these new terms play out in practice and their impact on the company's share count and stock price.

7. What should investors/traders know? (Practical takeaways)

If you own Momentus stock or are thinking about it, here's what you should keep in mind:

• This is Mixed News: It's mixed because while the new limits on share sales are positive for managing dilution and stock price volatility, the variable pricing mechanism (94% of the lowest trading price) means that if the stock price falls, Yield Point can buy shares at a lower price. This could lead to more dilution for existing shareholders to raise the same amount of capital. The original fixed price of $1.24 is a key reference point here.
• Watch the Stock Price: The stock price might react to the implications of this variable pricing and the new limits. Any "put exercises" (when Yield Point buys shares from Momentus) will be worth watching for their impact on trading volume and price.
• Long-Term View: This amendment is about how Momentus manages its capital. It's a tool for financing, and these adjusted terms aim to make that tool more adaptable to market conditions, while also trying to mitigate some of the negative impacts of such agreements.
• Do Your Own Research: Remember, this isn't financial advice. Always do your own homework and consider your personal financial situation before making any investment decisions. This information is just to help you understand the situation better.