Rocket Lab to acquire Iridium Communications for $8B

This story was originally published on Manufacturing Dive. To receive daily news and insights, subscribe to our free daily Manufacturing Dive newsletter.

Rocket Lab reached an agreement on Monday to acquire satellite services provider Iridium Communications for approximately $8 billion in cash and stock.

"This acquisition fundamentally enhances our business model by combining our strong satellite subsystems, satellite platforms, and launch businesses with Iridium's proven cash-generating satellite services business," Rocket Lab CFO Adam Spice said in a video presentation.

The companies' boards of directors have unanimously approved the deal, which is expected to be completed in mid-2027.

In conjunction with the agreement, Rocket Lab has secured $3.6 billion in bridge term loan facility financing from Deutsche Bank and Wells Fargo Bank.

Additionally, the bridge facility will be available to refinance approximately $2.1 billion of Iridium's debt, adjusted for the satellite service provider's $366.7 million acquisition of Ariane, which is expected to close in July.

Rocket Lab's acquisition of Iridium will be the manufacturer's entrance into the space applications market, which t

Fuente original: Yahoo Finance (https://finance.yahoo.com/technology/articles/rocket-lab-acquire-iridium-communications-121227256.html)