Rocket Lab Corporation (NASDAQ:RKLB) shares declined about 3.5% on Wednesday morning after the company revealed plans for a $1 billion equity distribution program.
In a filing with the U.S. Securities and Exchange Commission dated March 17, 2026, the space technology firm said it had signed an equity distribution agreement with a group of financial institutions, including BofA Securities, Goldman Sachs & Co. LLC, Morgan Stanley & Co. LLC, along with eight additional sales agents.
Under the arrangement, Rocket Lab may issue and sell shares of its common stock with a total offering value of up to $1 billion. The shares could be sold periodically through the participating financial institutions, which will act either as agents or as principals in the transactions.
The agreement also includes provisions for forward sale arrangements with selected forward purchasers. In these transactions, the forward purchasers will borrow shares from third-party stock lenders and sell them via the designated sales agents in order to hedge the forward contracts. The number of shares sold will correspond to the number of shares tied to each forward sale agreement.
The group of forward purchasers includes BofA Securities, Citizens JMP Securities, Deutsche Bank Securities, Goldman Sachs & Co. LLC, KeyBanc Capital Markets, Morgan Stanley & Co. LLC, Nomura Global Financial Products, and Stifel Nicolaus & Company, as well as certain affiliated entities.