Virgin Galactic Investor Suit Paused With Settlement in Works

Virgin Galactic Holdings Inc. founder Richard Branson, a prominent venture capital funder, and investors have obtained a temporary pause in a proposed securities class action while they finalize a settlement.

Deadlines are stayed except for briefing about requests to seal documents, Judge Allyne R. Ross said in a docket-only order June 20 in the US District Court for the Eastern District of New York.

• Investors sued over the the space tourism company’s merger with a special purpose acquisition company that was part of Chamath Palihapitiya’s Social Capital venture capital company, alleging misrepresentations about spacecraft safety and other issues
• Ross ...