Key Space & Satellite Deals Announced in 2024 - 2H

The second half of 2024 witnessed significant merger and acquisition activity in the space and satellite sector, with major defense, aerospace, and private equity firms acquiring key players to strengthen their capabilities in satellite technology, space exploration, and communications. The following is an overview of the most notable transactions during this period.

LinQuest Acquired by KBR

On July 16, 2024, KBR announced its acquisition of Los Angeles-based LinQuest for $737 million. LinQuest specializes in engineering, acquisition, and operations services for U.S. government communications, command and control, and information systems. The purchase price equates to 1.4x and 11.0x estimated FY2024 and FY2025 revenue and adjusted EBITDA, respectively. This acquisition enhances KBR's ability to deliver mission-critical solutions in logistics, cybersecurity, and space exploration.

Vivace Acquired by Cerberus Capital

On August 6, 2024, private equity firm Cerberus Capital announced its acquisition of San Antonio-based Vivace, a key developer of mission-critical propulsion tanks for spaceflight, hypersonics, and launch vehicles. Vivace supplies propulsion systems to major aerospace primes, including Lockheed Martin and Northrop Grumman, as part of the Artemis program. The terms of the transaction were not disclosed.

Deimos Acquired by Indra Sistemas

Spain-based aerospace and defense technology provider Indra Sistemas acquired Deimos on August 7, 2024. Deimos specializes in systems integration for international government aerospace, defense, and satellite markets, with expertise in mission analysis, system engineering, and space surveillance. This acquisition strengthens Indra's portfolio in satellite technology and telecommunications. Transaction terms were not disclosed.

Hera Acquired by Redwire

On August 14, 2024, Redwire announced its acquisition of Hera, a San Jose-based developer of space domain awareness and Very Low Earth Orbit (VLEO) constellations. Hera's geospatial intelligence platform consists of up to 50 nanosatellites, providing high-frequency regional coverage. The acquisition aligns with Redwire’s mission to expand its space infrastructure capabilities. Terms of the deal were not disclosed.

Terran Orbital Acquired by Lockheed Martin 

Lockheed Martin further expanded its space capabilities with the $450 million acquisition of Boca Raton-based Terran Orbital on August 15, 2024. Terran Orbital specializes in small satellite solutions for military, intelligence, civil, and commercial customers. The purchase price represented a 3.4x multiple on trailing twelve-month revenue as of June 2024. The acquisition enhances Lockheed Martin’s satellite design and manufacturing capabilities.

Flexitech Aerospace Acquired by T2S Solutions 

On September 3, 2024, T2S Solutions acquired Flexitech Aerospace, an Orlando-based RF communications system provider for satellites. T2S Solutions, known for its expertise in rapid prototyping and space systems integration, will leverage Flexitech’s RF engineering capabilities to enhance defense and intelligence missions. Transaction terms were not disclosed.

Satcom Direct Acquired by Gogo Business Aviation 

Broomfield-based Gogo Business Aviation announced on September 30, 2024, its acquisition of Satcom Direct for $636 million. Satcom Direct provides satellite voice and broadband data solutions for business aviation. The purchase price equated to 1.3x and 7.7x projected FY2024 revenue and EBITDA, respectively. This acquisition reinforces Gogo’s leadership in in-flight connectivity solutions for corporate and general aviation.

LeoStella Acquired by BlackSky  

On November 7, 2024, BlackSky acquired Tukwila-based LeoStella, a satellite design and manufacturing company focused on cost-effective smallsat production. BlackSky, which specializes in real-time geospatial intelligence, aims to integrate LeoStella’s smallsat technology into its existing satellite imagery and analytics operations. Terms of the deal were not disclosed.

BlueHalo Acquired by AeroVironment   

On November 19, 2024, AeroVironment announced its acquisition of BlueHalo for $4.1 billion. BlueHalo, based in Huntsville, AL, develops advanced space superiority technologies, including directed energy, missile defense, and cyber-intelligence solutions. The transaction was valued at 4.6x projected FY2024 revenue and 27.0x adjusted EBITDA, reflecting the strategic importance of BlueHalo’s defense capabilities to AeroVironment.

Conclusion

The acquisitions in the latter half of 2024 highlight the increasing consolidation within the space and defense sectors. Key trends include heightened interest in small satellite manufacturing, geospatial intelligence, and mission-critical propulsion technologies. Major aerospace and defense contractors, as well as private equity firms, continue to invest in space systems and communications capabilities to strengthen national security, defense infrastructure, and commercial space operations. These transactions signal continued growth and innovation in the global space industry.