Karman Holdings Inc. announced on January 7 2026 that it will acquire Seemann Composites and Material Sciences LLC (MSC) for a total consideration of $220 million, consisting of $210 million in cash and approximately $10 million in Karman common shares. The definitive agreement was signed on December 31 2025 and the deal is expected to close in the first quarter of Karman’s fiscal year 2026, pending customary closing conditions and regulatory approvals.
The acquisition extends Karman’s footprint into the naval and unmanned surface vessel markets by adding advanced composite materials, acoustic coatings, and propulsion systems that are already qualified for U.S. Navy programs such as the Columbia, Virginia, and Seawolf submarines. Seemann and MSC bring 95 years of heritage and 240,000 sq ft of manufacturing space, positioning Karman to serve over 80 prime contractors and more than 130 active programs. The combined entities strengthen Karman’s vertical integration and provide single‑source capabilities for high‑priority defense programs, aligning with the company’s strategy to become a “new kind of space and defense company.”
Karman’s Q3 2025 results showed a 41.7% year‑over‑year revenue increase to $121.8 million and a record funded backlog of $758.2 million. The company guided for 2026 revenue growth of 20%–25% (exclusive of future acquisitions) and reaffirmed its fiscal 2025 guidance. Management expects the Seemann/MSC transaction to be accretive to revenue, backlog, EBITDA, earnings per share, and cash flow in 2026, driven by the high‑margin composite and acoustic solutions that complement Karman’s existing launch vehicle, satellite, and missile businesses. The deal is also expected to broaden Karman’s customer base and deepen its relationships with U.S. defense contractors.
CEO Tony Koblinski said the acquisition “represents the natural expansion of the Karman platform into a compelling new market that is poised for decades of sustained growth.” He added that the company’s “strong momentum continued into the third quarter, with record financial results and year‑over‑year increases of 42% in revenue, 34% in adjusted EBITDA and 31% in funded backlog.” The acquisition is seen as a strategic move to capture growing demand for naval modernization and near‑peer deterrence, while leveraging Karman’s existing expertise in high‑performance composites and propulsion systems.
The deal is part of Karman’s broader M&A strategy, which has included acquisitions of MG Resin, Metal Technology Inc., and Five Axis Industries. By integrating Seemann and MSC, Karman will enhance its concept‑to‑production capabilities and reinforce its position as a leading supplier of advanced materials and systems to the U.S. Department of Defense. The transaction is expected to close in the first quarter of fiscal 2026, subject to customary closing conditions and regulatory approvals.
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