What happened
Former SPAC stock and current space stock Spire Global (SPIR -4.25%) is surging for the second day in a row. As of 3 p.m. EDT Wednesday, it was trading up by around 14%.
And even better, Unlike Tuesday, when Spire's stock spiked on really no "new" news, this time, there's a catalyst that could keep the rally going.
Image source: Getty Images.
So what
As Spire announced Wednesday morning, it is partnering with Myriota to expand the Internet-of-Things satellite company's network and accelerate its global rollout. Myriota uses satellites to keep in contact with IoT sensors on Earth, enabling customers in the logistics, utilities, and agriculture industries "to securely monitor and collect data globally."
Myriota, Spire said, will now incorporate Spire's nanosatellites into its network so as to "quickly ramp up Myriota's coverage to a global, low latency constellation."
Now what
This is actually doubly good news for Spire: Last week, it announced that it will acquire Canadian space company exactEarth -- which in turn owns a minority interest in Myriota. On the one hand, Spire's partnership with Myriota should grow the former's revenue stream. On the other hand, by helping Myriota to grow its business, Spire should increase the value of its stake in Myriota.
Granted, it remains to be seen precisely how profitable this partnership will be, but it does seem a positive development that is likely to move the needle for Spire's business.
