Critical Infrastructure Technologies Ltd. (CSE: CTTT) is progressing toward acquiring 100% of a Western Australian precision manufacturing company to expand its advanced production capabilities and secure local sovereign manufacturing capacity for its Nexus 20 and future autonomous communication systems. The acquisition represents a strategic move to strengthen Australia's domestic defence manufacturing ecosystem while providing immediate financial and operational benefits to the company.
The target company operates a fully equipped in-house manufacturing facility featuring state-of-the-art laser cutting systems, CNC folding and bending machines, robotic welding technology, and advanced CAD/CAM integration. Certified to ISO 9001 (Quality), ISO 14001 (Environment), and ISO 45001 (Safety) standards, the business has successfully achieved DISP accreditation (Defence Industry Security Program), a critical credential administered by the Australian Department of Defence that enables participation in classified defence programs. This accreditation ensures companies meet rigorous security, governance, and information protection standards required to work with Defence and its supply chain partners.
Financially, the acquisition adds a profitable business with revenue exceeding AUD$7.4 million and EBITDA of more than AUD$1.9 million, providing a robust earnings base to support accelerated growth in sovereign defence manufacturing. The total consideration for the acquisition is AUD$7.7 million, plus standard net debt and working capital adjustments. To support the transaction and provide working capital, CiTech has engaged Moneta Securities to raise up to AUD$10 million. Moneta Securities is a specialist capital markets advisory and corporate finance firm providing strategic fundraising services, with more information available at https://www.monetasecurities.com.
The integration of this manufacturing capability enables CiTech to establish vertically integrated production capacity, improving speed, cost efficiency, and scalability for its defence and communications technologies. This combination of modern equipment, skilled personnel, and a robust quality management system enables production of defence-grade components and assemblies with precision, repeatability, and efficiency. The acquisition reinforces CiTech's commitment to building a sovereign Australian manufacturing ecosystem capable of supporting rapid-deployment systems for defence, emergency response, and secure communications.
Due diligence is progressing well and is expected to be completed by December 19, 2025, with a targeted settlement date of January 31, 2026. The acquisition remains subject to completion of due diligence, finalization of the Share Purchase Agreement, securing required funding, and standard closing conditions. This strategic move complements CiTech's growing network of international partnerships, including collaborations with Babcock International and Terma, and the establishment of an EU presence in Latvia, further expanding its reach across NATO's Eastern Flank and allied markets. Additional information about the company's autonomous technology platforms is available at https://www.citech.com.au.
