Rocket Lab to Acquire Iridium in Historic Deal, Creating A Fully Vertically Integrated Space Powerhouse Primed for Growth.

Rocket Lab Corporation (Nasdaq: RKLB) (“Rocket Lab”), a global leader in launch and space systems and Iridium Communications Inc. (Nasdaq: IRDM) (“Iridium”), a leading provider of global voice, data, and positioning, navigation, and timing (PNT) satellite services, announced they have entered into a definitive agreement under which Rocket Lab will acquire Iridium. Rocket Lab will acquire all the outstanding shares of Iridium common stock for $54 per share in a cash and stock transaction. This represents an enterprise value for Iridium of approximately $8.0 billion.

Strategic Rationale.

The acquisition brings together Rocket Lab's launch and satellite manufacturing capabilities with Iridium's global satellite communications network, spectrum assets, and extensive partner ecosystem to create a vertically integrated space company. The combined organization will design, build, launch, and operate its own satellite constellations while delivering communications services to customers worldwide.

The transaction also provides Rocket Lab with an immediate presence in space-based applications, including satellite Internet of Things (IoT), direct-to-device (D2D) connectivity, positioning, navigation and timing (PNT), and critical safety services. Beyond expanding the existing Iridium network, the company plans to develop new satellite services and address additional opportunities across the global telecommunications market.

Expanding Space-Based Connectivity.

Iridium's globally harmonized L-band spectrum and low Earth orbit (LEO) satellite network provide secure and resilient communications and positioning, navigation, and timing (PNT) services across government, defence, aviation, maritime, and commercial sectors. The network supports more than 2.55 million subscribers worldwide while offering reliable connectivity and an alternative PNT capability in environments where GPS and other GNSS services are unavailable or degraded.

By combining Rocket Lab's launch, spacecraft manufacturing, and space systems expertise with Iridium's satellite network and spectrum assets, the merged company aims to accelerate the deployment of Iridium's next-generation constellation. This includes expanding direct-to-device (D2D) services and strengthening resilient communications capabilities for national security, emergency response, and other mission-critical applications.

CEO Statement.

Sir Peter Beck, Founder and CEO of Rocket Lab, described the acquisition as a pivotal milestone for both companies and the broader space industry. He highlighted that combining Iridium's global satellite communications network, spectrum assets, and established market presence with Rocket Lab's launch and spacecraft manufacturing capabilities will enable the development of next-generation space applications, expand into new markets, and strengthen services for both existing and future customers.

CEO Statement.

Matt Desch, CEO of Iridium, said the growing convergence of space and terrestrial communications will increase demand for space-based services across industries. He noted that becoming part of Rocket Lab will accelerate the development of next-generation capabilities in IoT, aviation, maritime, positioning, navigation and timing (PNT), and national security, while enabling the combined company to deliver new space-based applications through a fully integrated end-to-end platform.

Transaction Highlights.

The acquisition strengthens Rocket Lab's vertical integration by combining launch services, spacecraft manufacturing, satellite communications, and spectrum assets within a single company. This integrated structure is expected to reduce reliance on third-party launch providers, improve deployment efficiency, and enhance long-term service continuity.

The transaction also provides Rocket Lab with immediate entry into the space applications market through Iridium's established low Earth orbit (LEO) satellite constellation, global customer base, and recurring satellite services business. In addition, the acquisition brings globally coordinated L-band spectrum, expanding the company's capabilities in secure satellite communications.

By combining two long-standing government and defence partners, the merged company aims to accelerate the development of next-generation satellite communications, resilient positioning, navigation and timing (PNT), and advanced commercial and defence space services.

The acquisition also diversifies Rocket Lab's financial profile through Iridium's recurring revenue and cash flow, providing additional resources to support future growth and strategic investment.

Transaction Details.

Under the terms of the agreement, Iridium shareholders will receive $27.00 in cash and Rocket Lab common stock for each Iridium share, with the stock component determined through an exchange ratio subject to a price collar. The transaction values Iridium at approximately $54.00 per share, representing an enterprise value of around $8.0 billion.

The acquisition is expected to close in mid-2027, subject to shareholder approval, regulatory clearances, and other customary closing conditions. The boards of directors of both Rocket Lab and Iridium have unanimously approved the transaction.

To finance the acquisition, Rocket Lab has secured commitments for a $3.6 billion senior secured bridge term loan facility from Deutsche Bank and Wells Fargo. The cash portion of the transaction is expected to be funded through a combination of existing cash reserves and additional debt and equity financing.

Advisors.

Rocket Lab was advised by Deutsche Bank Securities as lead financial advisor, with Wells Fargo and PJT Partners serving as financial advisors. Legal counsel was provided by Wilson Sonsini Goodrich & Rosati, P.C., with Goodwin Procter LLP acting as financing counsel and DLA Piper LLP as regulatory counsel.

Iridium was advised by Evercore as exclusive financial advisor, with Davis Polk & Wardwell LLP serving as legal counsel, Wilkinson Barker Knauer LLP as regulatory counsel, and Joele Frank, Wilkinson Brimmer Katcher providing strategic communications advisory services.