Polar Multi-Strategy Fund this morning announced that it opted for an early termination to its forward purchase agreement (FPA) with lunar lander designer Intuitive Machines (NASDAQ:LUNR), which closed its combination with Inflection Point Inflection Point on February 13.

It is not difficult to discern why. The original FPA called on Polar to not redeem 1,250,000 shares and receive a $0.30 premium on the redemption price on for each once the agreements matured one month after close. In the meantime, true to its business model, Intuitive has zoomed to the Moon.

The stock began its rise on February 15, closing at $12.74, but then the boosters really kicked in during the four trading days that followed. Yesterday, it roared  from an open at $37.95 to $136.00 before settling down to $81.99 at close.

All of this came seemingly out of the blue, because the company has neither filed nor announced any major news since the beginning of the month.

Inflection Point also got to completion with a healthy post-redemptions public float of 5,493,182. But, this was deceptively large as 2,500,000 of these shares were locked into FPAs with Polar and HGC. Meanwhile, the stock reportedly attracted short interest, potentially allowing for a squeeze.

Polar has thus understandably decided not to wait until the full month passes and will pay Intuitive the redemption rate per share for the right to trade its holdings now at more than eight times the value. Despite the news, the market remains enthusiastic for the Moon stock for now, and Intuitive is up about 9.7% in the pre-market to $90.

Inflection Point and Intuitive Machines announced their $815 million business combination in September 2022. Houston, Texas-based Intuitive Machines has designed a moon lander for future NASA missions as well as other aerospace products.

On February 3, NASA announced it would include the Intuitive lander as a part of its Artemis program to study the Moon’s South Pole.