Terran Orbital banner over the New York Stock Exchange on March 28, 2022.
Earth orbital
Lockheed Martin submitted a bid to acquire the spacecraft manufacturer Earth orbitalthe defense giant revealed in a securities filing on Friday.
The non-binding proposal would see Lockheed acquire Terran Orbital's outstanding common stock for $1 per share in cash, in addition to paying $70 million for Terran's outstanding warrants and assuming the company's $313 million in outstanding debt. .
Altogether, the offering values Terran Orbital at just under $600 million. Terran Orbital stock closed at $1.07 per share on Friday.
Terran Orbital did not immediately respond to CNBC's request for comment.
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The small spacecraft maker went public via a SPAC in early 2022 at a valuation of $1.8 billion. Like many space stocks, the still-unprofitable company has been hit hard by the changing risk environment in the market.
Lockheed Martin is already a major shareholder in Terran Orbital, with a 28.3% stake as of Friday, having purchased during the company's SPAC process and again in late 2022.
Additionally, Lockheed noted in its letter to Terran Orbital management that the defense giant “continues to be Terran's largest provider of customer accounting revenue.”
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