NEW YORK, July 25, 2026, 11:11 EDT — Trading ended on U.S. markets.
- Rocket Lab closed Friday at $63.91, falling 8.7%. The Nasdaq Composite shed 0.6%.
- The closing price dropped beneath the lower collar in the planned acquisition of Iridium Communications NASDAQ:IRDM.
- Rocket Lab shares have fallen 34.8% over the past month. The company is scheduled to report second-quarter earnings on August 10.
Shares of Rocket Lab NASDAQ:RKLB fell 8.7% on Friday to end the session at $63.91. The finish left the stock under the $67.50 threshold tied to its planned acquisition of Iridium.
The threshold is now significant. When at or beneath this level, the exchange ratio locks at 0.4000 Rocket Lab shares. Iridium shareholders would additionally get $27 in cash.
Based on Friday’s closing price as an initial spot benchmark, the deal is valued at $52.56 per Iridium share. At $45.78, Iridium’s latest close was 12.9% under that figure. The ultimate value will be determined by a 10-day volume-weighted average price near the end of the period.
The sector broadly declined. Rocket Lab remained nearly three percentage points behind its three smaller publicly listed peers.
| Company or index | Friday close | Friday move |
|---|---|---|
| Rocket Lab NASDAQ:RKLB | $63.91 | fell 8.7% |
| Iridium Communications NASDAQ:IRDM | $45.78 | lost 3.9% |
| AST SpaceMobile NASDAQ:ASTS | $56.20 | declined 5.0% |
| Intuitive Machines NASDAQ:LUNR | $12.92 | dropped 5.7% |
| Redwire NYSE:RDW | $8.69 | slipped 6.5% |
| Nasdaq Composite | 24,975.82 | eased 0.6% |
Friday’s prices and movements represent the most recent regular-session closes.
There was no surge in trading volume. Turnover totaled 18.96 million shares, representing 72% of Rocket Lab’s 65-day average.
The share price dropped 2.8% across five sessions and declined 34.8% for the month. With the share count remaining steady, that monthly fall wiped out about $20.4 billion in value. This represents approximately 2.5 times the $8 billion enterprise value Iridium is targeting.
The combination would bring in additional revenue from recurring satellite services. In 2025, Iridium reported revenue of $871.7 million and $495 million in company-defined OEBITDA, with a margin of 57%.
Rocket Lab obtained $3.6 billion in bridge-loan commitments to fund the cash portion of the deal. The closing of the transaction is anticipated in mid-2027, pending shareholder and regulatory clearances.
According to Micah Walter Range, who leads consulting company Caelus Partners, Iridium’s network of clients and channels could turn out to be “even more valuable” than its physical assets and spectrum. Reuters
Rocket Lab continues to post rapid growth in its core business, though it remains unprofitable on an adjusted EBITDA basis. Revenue climbed 63.5% in the first quarter to $200.3 million, and the backlog stands at $2.2 billion.
Rocket Lab projects revenue between $225 million and $240 million for the second quarter. The company anticipates an adjusted EBITDA loss in the range of $20 million to $26 million. Earnings are due out following the market close on August 10.
The Federal Reserve is scheduled to meet on July 28 and 29. Anticipation over interest rates may influence appetite for high-volatility growth stocks following the Nasdaq’s 2.1% fall for the week.
Risks: The Iridium acquisition is subject to regulatory approvals and significant funding. Rocket Lab must also manage integration expenses, ongoing adjusted losses, and operational risks related to Neutron’s scheduled launch in 2026.
The $67.50 collar serves as a benchmark, not the definitive transaction price. If the final 10-day average finishes under this level, every $1 decrease in Rocket Lab’s share price would trim Iridium’s stock portion by 40 cents.
Related articles: NASDAQ:IRDM
