Karman Space & Defense announced it closed its previously announced acquisition of Seemann Composites and MSC, positioning the combined business as a multi-domain provider of critical sub-systems for key space and defense programs.
The company said the transaction expands its portfolio of IP-enabled solutions for extreme environments and adds capabilities in advanced materials and maritime-focused technologies.
In connection with the acquisition, Karman amended its credit agreement to increase its incremental term loan to $772 million. The company said it used proceeds to fund the acquisition and add working capital and liquidity, while reducing its interest rate by 75 basis points to SOFR plus 2.75%.
Karman said it expects the acquisitions to expand its access to multi-decade, high-priority, funded U.S. Navy programs and to be immediately accretive to revenue growth, funded backlog, EBITDA, earnings per share, and cash flow in 2026. The company also expects to remain in the upper tier of adjusted EBITDA margins in defense technology.
Following the deal, Karman said it has established a fourth end market, Maritime Defense Systems, which will include revenue from Seemann, MSC, and existing maritime projects. The company’s other end markets are Hypersonics and Strategic Missile Defense, Tactical Missiles and Integrated Defense Systems, and Space & Launch. Seemann and MSC President Sid Charbonnet joined Karman’s leadership team, the company said.
Seemann and MSC are based in Gulfport, Mississippi, and Horsham, Pennsylvania, respectively, and the company said the businesses bring a combined 95 years of operating history. Karman said the two teams design, test, qualify, and manufacture integrated advanced materials and acoustic coatings, along with propulsion systems, to support U.S. Navy applications, including submarines, surface vessels, and autonomous maritime platforms. Karman said the additions strengthen its vertically integrated platform, particularly in advanced materials, and it expects to complete integration by the end of 2026.
KEY QUOTE:
“We are delighted to welcome the talented employees of Seeman Composites and MSC to the Karman team where, together, we can deliver advanced solutions across all domains with greater speed, agility and scale than ever before. As an all-domain solutions provider, Karman now offers unique, IP-enabled solutions for critical space and defense systems operating in extreme environments ranging from the high pressure of the deep ocean to the searing heat of atmospheric re-entry. Our expanded portfolio of intellectual property incorporating advanced metallics, energetics, composites and resins gives us the ability to design our solutions to customer requirements and produce at scale to support mission success.”
Tony Koblinski, Chief Executive Officer, Karman Space & Defense
