Critical Infrastructure Technologies Ltd. has executed a Share Sale Agreement to acquire 100% of the issued shares of a Western Australian precision engineering and manufacturing company with strong connections to the defense and mining sectors. The acquisition represents a major step in CiTech's strategy to establish sovereign manufacturing capability in Australia and vertically integrate production of its Nexus platform and future defense technologies.
The purchase price is AUD $7,700,000, with the acquired business generating approximately AUD $7.5 million in revenue and AUD $1.9 million in EBITDA for FY2025. Revenue and EBITDA are expected to double within the next 2–3 years, providing CiTech with an immediate earnings base while strengthening the company's ability to scale production of its Nexus communications platforms.
Under the transaction structure, consideration will be paid in installments: AUD $5,775,000 payable on completion, with AUD $962,500 payable on each of the first and second anniversaries of completion. CiTech will also assume net working capital adjustments estimated at approximately AUD $2.08 million, representing cash, stock, accounts receivable and work in progress less creditors.
Strategic benefits include immediate sovereign manufacturing capability in Western Australia, vertical integration of fabrication and engineering operations, faster prototyping and production of Nexus platforms, access to a highly skilled workforce and advanced fabrication infrastructure, and enhanced capability to support defense, mining and critical infrastructure customers. This strengthened manufacturing capability will allow CiTech to accelerate production of its Nexus autonomous communications platforms, supporting increasing demand from international defense, mining and infrastructure markets.
The acquisition is expected to be financed through approximately 60% debt funding from an Australian bank and approximately 40% equity funding through a capital raise currently underway. Completion is expected to occur on March 31, 2026, subject to securing required funding and standard closing conditions.
Brenton Scott, Chief Executive Officer of Critical Infrastructure Technologies, stated that the acquisition provides immediate revenue and earnings while delivering the manufacturing capability required to scale production of Nexus platforms and support increasing international demand. The move strengthens sovereign Australian defense manufacturing capability and positions CiTech to participate in major allied supply chains. For more information about the company, visit https://www.citech.com.au.
The original release can be viewed on https://www.newmediawire.com. This acquisition represents a significant development in the intersection of defense technology and sovereign manufacturing capabilities, with implications for supply chain security and technological independence in critical infrastructure sectors.
