By Sam Boughedda
Investing.com — Rocket Lab USA, Inc. (NASDAQ:RKLB) announced after the bell Monday that it is to acquire space solar power products and precision aerospace structures supplier SolAero in a cash deal worth $80 million.
End-to-end space company Rocket Lab said the acquisition aligns with its growth strategy as it aims to deliver spacecraft manufacture, satellite subsystems, flight software, ground operations, and launch.
SolAero is one of only two companies producing space-grade solar cells in the U.S., supporting civil space exploration, science, defense and intelligence, and commercial markets.
“SolAero is a highly complementary addition to Rocket Lab’s vertically integrated business model and strengthens our ability to streamline space for our customers by delivering complete space mission solutions,” said Rocket Lab Founder and CEO, Peter Beck.
SolAero has a 425-person team that will join Rocket Lab and take its total headcount to more than 1,100 employees across its space manufacturing complexes, test facilities, and launch sites in California, Virginia, Colorado, Maryland, Toronto, New Zealand and now Albuquerque, New Mexico.
SolAero President and CEO Brad Clevenger will continue to lead the team at its production facilities in Albuquerque, New Mexico.
Rocket Lab shares closed Monday's session down 7.8%.