Graham, a manufacturer of mission-critical fluid, power, heat transfer, and vacuum technologies serving defense, energy, process, and space end markets, said it has acquired FlackTek Manufacturing and FlackTek Sales, expanding its engineered products portfolio into advanced mixing and material processing.
Graham said the deal establishes advanced materials processing as the company’s third core platform, alongside Graham Manufacturing’s vacuum and heat transfer business and Barber-Nichols’ turbomachinery operations. FlackTek will operate as a wholly owned subsidiary, remain headquartered in Louisville, Colorado, maintain a satellite location in Greenville, South Carolina, and be integrated into Graham’s financial, compliance, and operational infrastructure.
Under the terms of the transaction, Graham acquired 100% of FlackTek’s equity for $35 million, paid 85% in cash and 15% in Graham common stock through the issuance of 75,818 shares. The agreement also includes up to $25 million of additional performance-based cash earnouts over four years beginning in fiscal year 2027, contingent on progressively increasing adjusted EBITDA targets. Graham said the base purchase price is approximately 12x FlackTek’s projected adjusted EBITDA for 2026.
FlackTek is known for bladeless centrifugal mixing systems and related accessories, consumables, and material processing solutions. Graham said FlackTek’s technology is designed to deliver repeatable, precision mixing with faster cycle times, minimal entrained air, reduced downtime between batches, improved production consistency, and reduced heat transfer compared with traditional bladed methods. The company serves OEMs, R&D centers, defense laboratories, and industrial manufacturers across a range of applications, including adhesives, sealants, functional coatings, composites, electronics, and other advanced materials.
Graham characterized FlackTek’s product expansion from laboratory-scale systems into larger platforms, including its MEGA™ system, as a pathway for customers to scale materials processing from research and pilot environments into production. Graham also said FlackTek generates recurring demand through an installed base that drives ongoing sales of consumables, accessories, and services, and reported approximately $30 million in annualized revenue.
Graham noted that the acquisition is a strategic fit with its existing engineered systems capabilities, positioning the combined platform to address customer needs that span rotating machinery, vacuum environments, thermal management, and materials processing. The company said FlackTek’s mixing systems are process-critical and market-agnostic, with applications across defense, energetics, oil and gas, food, battery, aerospace and space, medical, and other industrial markets where precision and repeatability are required.
To fund the cash portion of the consideration, Graham said it used a combination of cash on hand and borrowings under existing credit facilities. The company also amended its credit agreement, increasing its revolving credit facility from $50 million to $80 million, which it said improves financial flexibility to support organic growth initiatives and additional acquisitions. Following the close, Graham reported a pro forma leverage ratio of approximately 1.2x.
As part of the integration plan, FlackTek CEO Matt Gross will join Graham’s leadership team as Vice President and General Manager and continue to lead the FlackTek business. Graham said it has published a supplemental presentation related to the acquisition and plans to provide additional details, including an update to its fiscal 2026 outlook, on its fiscal 2026 third-quarter earnings call scheduled for 11:00 a.m. ET on Friday, February 6, 2026.
KEY QUOTES
“FlackTek represents a highly strategic addition to Graham’s mission-critical product portfolio and directly aligns with our long-term vision to build differentiated, technology-led platforms,” said Matthew J. Malone, President and Chief Executive Officer of Graham Corporation. “The fundamental physics behind advanced mixing align closely with Graham’s core competencies in vacuum, heat transfer, and turbomachinery, enabling new opportunities to solve complex materials processing challenges for customers across defense, aerospace, and industrial markets. It’s unique that the FlackTek product portfolio impacts the full value chain from the mine to final assembly with applicability in upstream, midstream, and downstream applications.”
Matthew J. Malone, President and Chief Executive Officer, Graham Corporation
“Joining Graham marks an exciting new chapter for FlackTek. Graham’s engineering heritage, manufacturing expertise, and strong presence in our core end markets provide an ideal platform to accelerate our growth while preserving the innovation and customer focus that define our culture. I look forward to continuing to lead the FlackTek team as part of Graham and continue to expand the impact of our technology together.”
Matt Gross, Chief Executive Officer, FlackTek
