Rocket Lab, a U.S.-based launch services and aerospace manufacturer, announced plans to acquire defense technology supplier Geost in a deal valued at up to $325 million, marking a significant expansion into U.S. national security programs.
The acquisition includes $125 million in cash and $150 million in Rocket Lab stock, with an additional $50 million in performance-based earn-outs tied to revenue targets through 2027. Geost, based in Tucson, Arizona, is a producer of electro-optical and infrared (EO/IR) payloads used by the U.S. Department of Defense for space surveillance and missile warning systems.
“The acquisition of Geost will bring on board critical technology and payloads that are relied upon by the Department of Defense,” Rocket Lab CEO Peter Beck said in a statement.
Rocket Lab currently holds a $515 million contract to build and operate 18 satellites for the Space Development Agency's (SDA) Transport Layer. The Geost acquisition is expected to enhance the company's competitiveness for future SDA contracts, including the upcoming Tranche 3 Tracking Layer, which could involve over 50 missile-tracking satellites.
“This also positions us to be a competitive provider for the Golden Dome missile defense system,” said Rocket Lab CFO Adam Spice, referring to a proposed space-based missile shield initiated by executive order. “The President's recent announcement made it clear that there's a strong emphasis on utilizing efficient and fast providers, which positions us well to capture these opportunities.”
Geost was previously owned by private equity firm ATL Partners, which acquired the company in 2021 and later incorporated it into LightRidge Solutions. Following the Rocket Lab transaction, ATL will reorganize its remaining portfolio businesses — Trident Systems and Ophir Corporation — into a new defense electronics group, Trident Solutions.
Rocket Lab has pursued a strategy of vertical integration to expand its space systems capabilities. With Geost's 115 employees joining its global workforce, the company now operates in more than eight locations across North America and New Zealand. The acquisition follows Rocket Lab's previous move to acquire optical communications provider Mynaric as part of its long-term positioning within the space defense sector.
“It really is a logical addition to a vertically integrated national security offering,” Beck said.