Terran Orbital Crashes- Shareholders Sue

Share prices for satellite manufacturer Terran Orbital crash-landed after its recent acquisition by Lockeed Martin. Investors allege that while Lockheed originally offered a sky-high price for Terran shares, when the final deal price was in the dirt. Angry shareholders are now suing Terran to recoup their losses.

According to the class action lawsuit, in 2023, Terran won a major, multi-billion dollar contract. Company executives assured investors the Terran had adequate cash reserves and resources to fund the contract. In reality, company executives knew Terran was cash-strapped, unable to fulfill the order, and thus unlikely to profit on this contract.

In April 2024, defense industry giant Lockheed Martin offered to buy out Terran at one dollar per share, but soon withdrew the offer. Terran later announced that it was short on cash and removed the major contract from its backlog, slashing the Company's outstanding contracts by almost 90%.

Following this disappointing news, Terran announced that Lockheed had renewed its offer - this time at forty cents per share. The next day, Terran announced its final deal with Lockheed, which valued Terran at just twenty-five cents per share. Investors reacted negatively and Terran shares crashed 39% overnight. Some investors are now signing up for the class-action lawsuit in hopes of recouping their losses.

Join the Lawsuit.