June 5 (Reuters) - Lockheed Martin ( LMT ) has entered a

purchase agreement with Firefly Aerospace for up to 25 launches

on its Alpha rocket by 2029, the U.S. defense contractor said on

Wednesday.

Texas-based Firefly makes small and medium launch vehicles

for commercial launches to orbit. Its small-launch vehicle,

Alpha, will fly Lockheed's spacecraft and payload into low-Earth

orbit from its facilities on west and east coasts, Lockheed

said.

The companies did not disclose the financial details of the

deal. The lower-cost launch vehicles would help reduce risk for

its self-funded technology demonstration missions, Lockheed

said.

Profit at its space division jumped in its latest quarter,

benefiting from higher launch volume in United Launch Alliance,

its joint venture with planemaker Boeing ( BA ).

Boeing ( BA ) and Lockheed merged their rocket programs in 2006 and

are looking to sell the jointly-owned venture, media reports

said.