Rocket Lab to acquire Iridium in $8B cash-and-stock deal
Key takeaways
- Under the terms of the agreement, Iridium shareholders will receive $27 in cash and a portion of Rocket Lab stock for each Iridium share, subject to a collar mechanism tied to Rocket Lab's share price.
- The companies said the combination would unite Rocket Lab's launch services and satellite manufacturing capabilities with Iridium's low Earth orbit communications network, global spectrum rights and subscriber base.
- Iridium operates a LEO constellation supporting more than 2.5 million subscribers across government, maritime, aviation and commercial markets.
Rocket Lab to acquire Iridium in $8B cash-and-stock deal Proactive Mon, June 29, 2026 at 11:19 PM GMT+7 2 min read IRDM RKLB Rocket Lab to acquire Iridium in $8B cash-and-stock deal Proactive uses images sourced from Shutterstock Rocket Lab USA Inc (NASDAQ:RKLB) announced that it has agreed to acquire Iridium Communications in a cash-and-stock transaction valued at approximately $8 billion in a deal that would combine a leading launch and spacecraft manufacturer with an established global satellite communications operator.
Under the terms of the agreement, Iridium shareholders will receive $27 in cash and a portion of Rocket Lab stock for each Iridium share, subject to a collar mechanism tied to Rocket Lab's share price. The total consideration implies a value of about $54 per Iridium share.
Following the announcement, Rocket Lab shares surged almost 12% to about $94, while Iridium stock jumped 22% to about $53.