08:44 AM EDT, 05/29/2024 (MT Newswires) -- AST SpaceMobile ( ASTS ) has secured a $100 million commitment from Verizon Communications ( VZ ) as part of a new direct-to-cellular partnership, the companies said Wednesday.

AST has agreed to provide direct-to-cellular service to Verizon's customers, which is expected to allow AST to target full coverage of continental US, the companies said.

Verizon's commitment includes $65 million of commercial prepayments and $35 million of convertible notes, they added.

AST shares were up 16% in recent Wednesday premarket activity, while Verizon's stock declined 0.2%.

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