Rocket Lab Cancels $3.6B Loan as Iridium Deal Funding Finalized

Key Facts

1Rocket Lab cancelled its $3.6 billion bridge loan after the Iridium deal became fully funded.

2Iridium's $500 million annual EBITDA is expected to turn Rocket Lab's $80 million loss into a $420 million gain before Neutron.

3Up to 72 million new shares may be issued, with 17 million contingent on a specific stock-price collar window.

Rocket Lab cancelled its $3.6 billion bridge loan after the Iridium acquisition became fully funded. Seeking Alpha reported that the financing structure may involve the issuance of up to 72 million new shares, with 17 million of those contingent on a specific stock-price collar window.

The deal is expected to significantly alter the company's financial profile, as Iridium's $500 million annual EBITDA is projected to turn Rocket Lab's $80 million loss into a $420 million gain before the Neutron project. This fundamental shift toward profitability occurs as the company moves to finalize the transaction without drawing on the massive bridge facility.