US Rocket Lab to Acquire Iridium for $8 Billion in Mid-2027

en.Wedoany.com Reported - US Rocket Lab Corp. has signed a definitive acquisition agreement with Iridium Communications Inc., under which Rocket Lab will acquire all outstanding common shares of Iridium at $54 per share in a cash-and-stock transaction, valuing Iridium at an enterprise value of approximately $8 billion.

Sources describe this acquisition as one of the most transformative deals in the aerospace industry, creating a vertically integrated US space company capable of designing, building, launching, and operating its own constellation. The transaction combines Rocket Lab's launch capabilities, satellite manufacturing, and composite materials expertise with Iridium's global satellite communications network, spectrum, and an ecosystem of over 500 partners.

Upon completion, Rocket Lab will immediately secure a position in space-based applications, including satellite IoT, direct-to-device connectivity, positioning, navigation, and timing (PNT), and critical life safety services. Rocket Lab plans to leverage the Iridium network while expanding into untapped markets and developing new space-based services. Sir Peter Beck, founder and CEO of Rocket Lab, stated that combining Iridium's infrastructure and spectrum with Rocket Lab's launch and manufacturing capabilities can unlock entirely new markets. The new entity will deliver next-generation satellite communications, resilient PNT, and emerging defense and commercial space services. Iridium CEO Matt Desch noted that as space and terrestrial communications continue to converge, success belongs to companies that can rapidly bring innovation to space and sustain it efficiently over the long term.

The transaction is expected to close in mid-2027, subject to approval by Iridium shareholders and necessary regulatory approvals.