Karman Space & Defense Acquires Metal Technology Inc. for $90 Million, Expanding Capabilities in Strategic Missile Systems
Karman Holdings, a rapidly growing leader in next-generation aerospace and defense technologies, announced a significant strategic acquisition this week. The company has acquired Metal Technology Inc. (MTI), a specialist in ultra-high temperature systems and refractory alloy components used in strategic missile programs, for $90 million in an all-cash transaction.
The acquisition marks a pivotal move for Karman Space & Defense, strengthening its already formidable position in the hypersonic, missile defense, unmanned aerial vehicle (UAV), and space sectors. With MTI’s extensive expertise in refractory metals and its reputation for delivering highly engineered, mission-critical components, the integration is expected to enhance Karman’s value proposition across a variety of high-priority U.S. defense and aerospace initiatives.
Strengthening the Supply Chain for Strategic Missile Defense
Founded in 1986 and headquartered in Albany, Oregon, MTI has spent nearly four decades at the forefront of advanced materials engineering, specifically focused on exotic and ultra-high temperature metals. The company has carved out a unique position within the defense industrial base by producing components that operate in some of the harshest environments imaginable—where extreme temperatures, corrosive conditions, and intense mechanical forces converge.
MTI’s product portfolio includes highly specialized systems such as rocket nozzles, electromagnetic shielding, energetic liners, gas generators, shaped charges, and actuation components. These are essential for the function and reliability of strategic missile systems, especially those designed for hypersonic speeds and advanced payload deployment.
One of the standout aspects of MTI’s value is its proprietary capabilities in processing and manufacturing refractory alloys. These metals—such as tantalum, niobium, zirconium, molybdenum, and vanadium—are known for their resistance to heat and corrosion, making them indispensable in aerospace and defense applications that require high strength and performance under extreme conditions.
A Strategic Fit with Long-Term Impact
Tony Koblinski, Chief Executive Officer of Karman Space & Defense, emphasized the strategic rationale behind the acquisition.
We are excited to add MTI to the Karman platform,” said Koblinski. “The acquisition represents a natural expansion of our expertise in advanced materials and an opportunity to deliver valuable new capabilities to our customers. MTI is a unique asset within the defense supply chain whose deep capabilities in refractory metals have been on our strategic roadmap for some time.”
Koblinski added that MTI’s strong customer relationships and involvement in critical national defense programs align well with Karman’s long-term growth strategy. The integration is expected to create immediate synergies, offering a broader and more technically advanced set of solutions to clients in both government and commercial space sectors.
Their customer and programmatic relationships create compelling opportunities to accelerate our growth and create shareholder value,” Koblinski noted. “We welcome the talented members of MTI to the Karman team. We look forward to working together to deliver even more value to our customers as we continue executing on our mission to be the nation’s leading merchant supplier of advanced space and defense technologies.”
Unique Capabilities to Meet Emerging Threats
The acquisition is also timely in light of increasing investments in missile defense and hypersonic capabilities by the U.S. Department of Defense. As near-peer adversaries continue to advance their offensive missile technology, the demand for high-performance materials and components has become more urgent than ever. MTI’s core competencies directly address many of these challenges, offering mission-enabling technologies that are difficult to source elsewhere.
The company’s vertically integrated manufacturing processes are also a major differentiator. MTI combines a suite of advanced capabilities—including additive manufacturing, hot forging, precision machining, and proprietary forming processes—to deliver components that meet the most demanding defense specifications.
This multi-step approach not only enables tighter control over quality and lead times but also allows for greater design flexibility and innovation in product development. As a result, MTI’s components are often used in applications where failure is not an option—such as warheads, thrusters, and other critical propulsion systems.
Driving Growth Through Complementary Technologies
Karman’s acquisition of MTI complements its existing portfolio of advanced aerospace and defense solutions. The company is already known for its work in propulsion systems, deployable shrouds, satellite launchers, and energetic subsystems. By integrating MTI’s refractory metal capabilities into its platform, Karman aims to become a one-stop solution provider for cutting-edge defense and space technologies.
MTI’s technologies will also bolster Karman’s capacity to support new and emerging programs related to hypersonics and next-generation interceptors, areas of heightened focus for the Pentagon and allied nations. These programs often require integrated, high-temperature-resistant components that can survive reentry conditions or operate reliably in kinetic scenarios, making MTI’s expertise an invaluable addition.
Financial and Operational Impact
The $90 million acquisition was completed in cash, signaling Karman’s confidence in the long-term value of the deal. Financial analysts have noted that MTI’s niche positioning and high barriers to entry make it a highly strategic asset, one that could contribute significant revenue and margin growth in the coming years.
While financial terms of MTI’s current performance were not disclosed, Karman’s leadership believes the acquisition will be accretive in the near term. The company is expected to share additional integration details and forward-looking projections during its next earnings call.
The acquisition also sends a strong message to stakeholders across the defense sector: Karman is actively investing in long-term, sustainable growth and is committed to building out the domestic supply chain with specialized, high-performance manufacturing capabilities.
About Karman Space & Defense
Karman Space & Defense is a leading developer of next-generation technologies aimed at countering near-peer nation-state threats. The company specializes in the rapid design, development, and production of critical, integrated systems for the hypersonic, missile defense, UAV, and space sectors. Its core technology offerings include propulsion systems, deployable shrouds, satellite and missile launchers, and energetic subsystems.
With a growing roster of partnerships and programs, Karman’s solutions are trusted by both defense agencies and commercial space operators to ensure mission success in some of the most challenging environments known to science and engineering.
