Rocket Lab Raises $1.94 Billion to Fund Iridium Acquisition
Rocket Lab has completed a $1.94 billion at-the-market equity offering by issuing nearly 29.3 million shares of stock, bringing the company closer to finalizing its acquisition of satellite communications firm Iridium Communications. The funds will be used to finance the deal and pay down existing debt. Rocket Lab also amended its credit facility for $1.77 billion, securing long-term financing backed by strong free cash flow. The proposed merger with Iridium is expected to transform Rocket Lab into a fully integrated space operator, combining launch capabilities with global satellite communications infrastructure. CFO Adam Spice emphasized that the acquisition will complete Rocket Lab's evolution from primarily being known as a rocket company and satellite builder to becoming an end-to-end provider in the growing space economy. The deal still requires regulatory approvals before it can close by mid-2027, but both companies' boards have already approved the transaction. A shareholder vote on Iridium’s side is scheduled for September 24.
Topics: debt restructuring equity offering Rocket Lab acquisition of Iridium Communications space economy