Rocket Lab acquires Iridium in $8B space industry deal

Rocket Lab will acquire Iridium for $8B in cash and stock, offering $54 per share—a 24% premium. The deal aims to create an integrated space company by mid-2027.

Rocket Lab has announced its acquisition of Iridium Communications in a deal valued at approximately $8 billion, combining both cash and stock. Iridium shareholders will receive $27 in cash and Rocket Lab shares, totaling $54 per share—a 24% premium over Iridium’s last closing price. The transaction, approved by both companies’ boards, is expected to close by mid-2027. This strategic move aims to transform Rocket Lab into a fully integrated space company by merging its launch and satellite manufacturing capabilities with Iridium’s global satellite communications network. Following the announcement, Rocket Lab shares rose 6.9%, while Iridium’s increased by 1.7%. The deal, which follows Rocket Lab’s $300 million contract with NASA, marks one of the most significant consolidation moves in the commercial space industry.