Rocket Lab shares rise 1.36% after Iridium shareholders approve deal

  • Iridium shareholders approved Rocket Lab's proposed acquisition.
  • 1.36%: Rocket Lab shares traded at $74.61 in Friday premarket trading.
  • Rocket Lab completed a $1.944 billion equity offering last week.

Rocket Lab shares traded higher in Friday premarket trading after Iridium Communications shareholders approved Rocket Lab's proposed acquisition on Thursday. The companies continue to target a mid-2027 closing. Under the agreement, Iridium shareholders will receive $27 in cash plus Rocket Lab common shares, with the exchange ratio subject to a collar; the transaction has a notional value of $54 per Iridium share. The deal remains subject to regulatory approvals and other customary closing conditions. Rocket Lab fully financed the pending acquisition last week through a $1.944 billion gross at-the-market equity offering that issued 29.3 million shares, secured lender consent to retain Iridium's existing term loan and canceled a planned $3.6 billion bridge facility. Rocket Lab plans to use net proceeds for cash payments tied to the acquisition. Its shares were up 1.36% at $74.61 in Friday premarket trading, according to Benzinga Pro data. Technical indicators show a near-term rebound but a recovering longer-term trend, with resistance near $87 and support around $61. Analysts have a Buy consensus rating and an average price forecast of $110.14. Rocket Lab also has a Momentum score of 82.23 on the Benzinga Edge scorecard and significant exposure in three space- and technology-focused ETFs.

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