Terran Orbital could become acquisition target amid space consolidation
Feb. 26, 2023 1:17 PM ETTerran Orbital Corporation (LLAP)LMT, MAXRBy: Joshua Fineman, SA News Editor9 Comments
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- Terran Orbital (NYSE:LLAP) may become an acquisition target as consolidation continues in the space sector.
- Terran Orbital (LLAP), which surged over 70% on Wednesday after it was awarded a $2.4 billion contract to build 288 low-earth orbit satellites, could become a takeover target for larger defense contractors after the company's recent contract wins, according to a Dealreporter item from Friday, which cited sector advisers.
- Lockheed Martin (LMT) was named by the sector advisers as a likely acquirer of Terran Orbital (LLAP) given he company already has an investment in the satellite company, according to Dealreporter.
- Terran Orbital (LLAP) may be one of the last independent satellite makers after recent consolidation in the industry, include Maxar Technologies' (MAXR) planned $6.4 billion sale to private equity firm Advent International, which was announced in December.
- Terran Orbital (LLAP) received a $100 million investment from aerospace firm Lockheed Martin (LMT) in late October.