Kraig Biocraft Laboratories (OTCQB: KBLB) completed the acquisition of its third silkworm rearing center on January 12, 2026, marking the final physical milestone in the company’s 2026 production scale‑up plan. The new facility is the largest single‑site rearing center the company has ever operated and is positioned to support significantly higher throughput while maintaining the operational discipline and biological consistency required for large‑scale spider‑silk manufacturing.
The expanded center will enable KBLB to run three simultaneous production cycles, a capability that underpins the company’s target of exceeding one metric ton of finished spider‑silk per month. The facility’s size and design allow for greater process efficiency and tighter control of the genetic and environmental variables that influence fiber quality, thereby reducing per‑kilogram production costs and improving margin potential.
Kraig’s vertical integration strategy is reinforced by the new center’s proximity to the company’s recently acquired mulberry fields, which were taken over on January 7, 2026. By sourcing feedstock on‑premises, the company reduces supply‑chain risk and secures a stable, low‑cost raw material base. This integration is expected to lower operating expenses and accelerate the path to cost‑effective, commercially viable spider‑silk fibers for high‑performance markets.
Founder and CEO Kim Thompson emphasized the strategic importance of the milestone, stating, “This milestone represents a critical step forward in our evolution as a world‑leading supplier of spider silk. With this final rearing center secured and supported by expanded mulberry cultivation, we now have the infrastructure and feedstock capacity in place to support continuous, scalable production at levels that position Kraig Labs to fulfill our vision of commercially scalable and cost‑effective spider‑silk production.”
The company’s production history underscores the significance of the expansion. In 2024, KBLB produced more spider silk than in all previous years combined, and a single 2025 run surpassed the entire output of 2024. The new center is expected to accelerate this growth trajectory and open the door to larger contracts in performance apparel, technical textiles, defense, and medical applications.
Operations at the new facility are slated to begin later this quarter, after final commissioning and quality validation. The company’s focus on scaling production, coupled with its vertically integrated supply chain, positions it to capture a growing share of the high‑value performance‑apparel and technical‑textile markets while maintaining the quality and cost advantages that differentiate its spider‑silk fibers.
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