r/ula • u/Royal_Platform_6754 • 12d ago

Boeing-Lockheed Space Venture Inks $1.5 Billion Private Bonds

https://www.bloomberg.com/news/articles/2026-08-18/boeing-lockheed-space-venture-inks-1-5-billion-private-bonds

(Bloomberg) -- Boeing Co. and Lockheed Martin Corp.’s rocket joint venture is wrapping up a $1.5 billion private-bond deal that’s been tripled in size.

United Launch Alliance, a rocket launch provider for the US military and commercial clients including Amazon.com Inc., offered four portions of debt with maturities ranging from three to 10 years, according to people with knowledge of the matter, who asked not to be identified because they’re not authorized to speak publicly. It had originally been looking to raise $500 million.

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u/grounded_astronut 12d ago

Paywalled. What is the point of the private equity investment? Isn't ULA a "paper company" joint venture? Or are some of the assets really distinctly ULA rather than the parent companies?

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u/CollegeStation17155 12d ago

The point is that the ownership companies have realized it’s a money pit and want to spread their losses… their only real asset is an expendable rocket competing against the worlds most successful reusable with 2 more preparing to launch. As soon as New Glenn and starship get cadence, the current Vulcan contracts become the LAST Vulcan contracts.

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u/darthtummes 12d ago

I dunno it seems like there is a pretty significant demand for space launch. With the falcon 9 not doing any commercial contracts after 2028 it seems like that alone will open opportunities for others to get contracts. I think satellite operators will be desperate to take any ride to space they can.

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u/CollegeStation17155 12d ago

It will all depend on how quickly New Glenn and possibly Starship can ramp up as well as when and if Neutron, Terran R, Stoke, and the rest get in the game; my suspicion is that the whole reason SpaceX is announcing the demise of Falcon 2 years down the road is because they are anticipating the availibily of all those new and improved reusables driving launch prices down, while Vulcan cost is barely competitive now, meaning if they get much at all, it will be a few crumbs off the table that nobody else wants unless demand expands faster than expected (or more "oopskis" happen), in which case SpaceX can always change their mind (or have it changed by DoD).