Virgin Galactic ($SPCE) Investor Settlement
Virgin Galactic has reached a settlement with $SPCE investors over claims it misled the public about its spaceflight tech and safety before key launches like Unity 22.
Outline
In 2021, Virgin Galactic was accused of overstating its flight readiness and downplaying safety issues related to its Unity spacecraft when the FAA grounded flights after Unity 22 deviated from its planned path. After delays and internal issues came to light, $SPCE fell sharply. Investors filed suit against the company.
Timeline
July 11, 2021 – Virgin Galactic’s Unity 22 flight launched with Richard Branson on board.
September 10, 2021 – FAA grounded all Virgin flights amid a probe into Unity 22’s flight path deviation.
October 14, 2021 – Virgin delayed commercial flights to Q4 2022.
May 6, 2022 – Investors filed suit, alleging misrepresentations about flight safety.
June 2025 – Virgin Galactic reached a settlement to resolve investor claims.
Background
Virgin Galactic, a space tourism company, promoted Unity 22 as a landmark mission with founder Richard Branson on board. Before launch, the company emphasized strong safety protocols and system readiness. However, after the July 2021 flight, it was revealed that Unity 22 veered outside its assigned airspace—a fact the company did not initially disclose.
In September 2021, the FAA halted further flights, citing an investigation into the incident. Later that year, Virgin delayed its commercial timeline. These events raised questions about the company's internal oversight, risk disclosures, and technological maturity. As trust eroded, $SPCE shares dropped significantly, prompting a lawsuit from investors.
What Can Investors Expect Now?
Virgin Galactic has reached a settlement with $SPCE investors over claims it misled the public about its spaceflight tech and safety before key launches like Unity 22.
If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section below.
Frequently Asked Questions
All persons or entities who purchased or otherwise acquired the publicly traded common stock of Virgin Galactic between July 10, 2019 and October 12, 2021, inclusive, and were damaged thereby. Excludes Defendants and affiliated parties.
No, if you have purchased securities within the class period, you are eligible to participate.
You can participate in the settlement and retain (or sell) your securities.
The entire process usually takes 4 to 9 months after the claim deadline. But the exact timing depends on the court and settlement administration.
If you're eligible, you can file your claim directly from this case page by clicking the "Collect Payout" button.
More than 100 companies are currently paying out settlements. Connect your brokerage account to automatically check which ones you may have missed — or file manually for this case.
11th.com is an investor recovery company that helps investors track and collect securities class action settlements. We will:
1. Prepare documents for your payout.
2. Audit the claim and make sure you get the maximum possible payout.
3. File a claim with the settlement administration.
4. Correspond with the settlement administration to resolve emerging issues.
5. Deliver payout directly to your brokerage account.
There is no upfront cost, but we will deduct 20% of the recovered amount as a commission for our services.