Rocket Lab has agreed to acquire satellite communications operator Iridium for approximately $8 billion, expanding the launch provider into satellite network operations and communications services. The proposed cash-and-stock transaction values Iridium at $54 per share and is expected to close in mid-2027, subject to shareholder and regulatory approvals.
Under the agreement, Iridium shareholders will receive $27 in cash and Rocket Lab shares for each Iridium share. The stock portion will use an exchange ratio with a price range between $67.50 and $112.50 for Rocket Lab shares, according to the companies’ official announcement.
Both companies’ boards have unanimously approved the transaction. Rocket Lab has also secured commitments for a $3.6 billion bridge loan from Deutsche Bank and Wells Fargo to help finance the cash portion.
Iridium Adds Satellites, Spectrum and Subscribers
Iridium operates a low Earth orbit satellite network that provides voice, data, and positioning, navigation and timing services. Its network supports more than 2.55 million active subscribers across government, defense, aviation, maritime and commercial markets.
The acquisition will also give Rocket Lab access to Iridium’s globally coordinated L-band spectrum and more than 500 partners. Rocket Lab plans to build upon the existing network and develop services in areas such as direct-to-device communications, satellite Internet of Things connectivity and positioning systems.
Rocket Lab currently provides launch services, spacecraft manufacturing, satellite components and flight software. Combining these operations with Iridium would allow the company to design, manufacture, launch and operate satellite constellations within one business.
Rocket Lab Continues Its Acquisition Activity
The Iridium agreement follows several Rocket Lab acquisitions. The company agreed to buy robotics and spacecraft mechanisms specialist Motiv Space Systems in May 2026 after completing its $155.3 million acquisition of laser communications provider Mynaric in April.
Rocket Lab also acquired New Zealand manufacturer Precision Components Limited in February 2026. In August 2025, it completed its purchase of Geost, a developer of electro-optical and infrared sensors for national security satellites.
The transaction follows other combinations involving satellite and space companies, including Viasat’s purchase of Inmarsat, Advent International’s acquisition of Maxar and Lockheed Martin’s purchase of Terran Orbital. In April 2026, Amazon agreed to acquire Globalstar in an $11.6 billion transaction supporting its Amazon Leo satellite network.
Featured image credits: Magnific.com
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