Rocket Lab agrees $8 billion deal to acquire Iridium Communications

Rocket Lab announced an $8 billion cash‑and‑stock transaction to acquire Iridium Communications, a deal financed in part by a $3.6 billion bridge loan from Deutsche Bank and Wells Fargo and slated to close in mid‑2027. The acquisition gives Rocket Lab access to Iridium’s L‑band spectrum and a constellation of 66 low‑Earth‑orbit satellites serving more than 2.5 million customers, and is expected to more than double Rocket Lab’s revenue.

Earlier in the week the company’s shares fell 44 % from their recent high as space‑sector stocks suffered a broad selloff, though a new NASA contract for three Electron launches provided a modest rally. Analyst coverage remained supportive: Cantor Fitzgerald reaffirmed an “overweight” rating with a $96 price target, while other firms issued buy ratings and price targets up to $135. Insider sales totaling over $76 million were also reported.

Rocket Lab’s entry into the satellite‑communications market marks a strategic shift from pure launch services toward integrated space applications, positioning the firm to compete with larger constellations such as Starlink and Amazon’s Leo.