Rocket Lab Corporation’s $8 billion takeover of Iridium Communications is getting closer to completion after Iridium’s stockholders approved the deal. Rocket Lab announced the acquisition back in June. The deal will see Rocket Lab’s space launch and satellite technology merged with Iridium’s global satellite communications network.
About 99.6% of the votes cast by Iridium stockholders were in favour of the deal. These votes represent approximately 81% of Iridium’s outstanding voting shares. Iridium chief executive officer Matt Desch said the deal marked an important milestone for the company. The companies have complementary technologies and expertise that could be used to develop new space-based services, he added.
Rocket Lab founder and CEO Sir Peter Beck also welcomed the decision. He said combining Iridium’s global network and satellite expertise with Rocket Lab’s launch and space systems could create new opportunities for customers, governments, and people worldwide.
Rocket Lab provides launch services, spacecraft, payloads, and satellite components for commercial, government, and national security customers. Its Electron rocket is described as the world’s most frequently launched orbital small rocket.
Iridium operates a constellation of more than 65 satellites, providing global coverage. Its services support areas such as IoT, direct-to-device communication, and safety services. Desch has also said Iridium is developing a new technology aimed at protecting GPS from fraud, spoofing, and cyber threats.
The deal comes as competition in the satellite communications industry continues to grow, with companies linked to Elon Musk and Jeff Bezos expanding their space activities.
