Overview
VisionWave Holdings Inc. (NASDAQ:VWAV) reported a binding definitive agreement to acquire 51% of C.M. Composite Materials Ltd., a company certified to manufacture aerospace-grade composite structural components. Following the announcement, VisionWave shares rose 6% on Tuesday.
Transaction terms and valuation
The deal values C.M. at $50 million per an independent valuation prepared by BDO Consulting Group dated January 1, 2026. Consideration for the 51% interest will be paid in the form of 250,000 shares of VisionWave common stock.
Target profile and products
C.M. produces structural components used on systems publicly identified as Iron Dome and Barak 8. The company also supplies parts for other airborne, offensive, and intelligence platforms. The targets and platforms named in the agreement are those specified by the parties.
Financials and accounting basis
For its fiscal year 2025, C.M. reported approximately $17.3 million in revenue and approximately $3.0 million in net income before tax. Those figures were prepared under International Financial Reporting Standards as adopted in Israel and are unaudited, drawn from C.M.'s internal management accounts. The results have not been prepared in accordance with U.S. Generally Accepted Accounting Principles and have not been audited under the standards of the Public Company Accounting Oversight Board.
Due diligence and timing
VisionWave completed due diligence across a continuous 64-day period beginning December 18, 2025 and ending February 20, 2026. The diligence process included daily on-site visits to C.M.'s facilities located in Modi'in, Israel, and encompassed inspection of composite structural manufacturing processes as well as verification of certification and compliance standards.
Closing conditions
The acquisition is subject to customary closing conditions, including regulatory approvals. The companies expect the transaction to close in the first quarter of 2026, subject to satisfaction of those conditions.
Context
This acquisition follows VisionWave's previously announced entry into a $10 million Statement of Work related to development of its QSpeed platform. No additional financial terms beyond those described above were disclosed in the announcement.
Summary
VisionWave has agreed to acquire a 51% stake in C.M. Composite Materials Ltd. for consideration of 250,000 VisionWave common shares, reflecting a $50 million valuation of C.M. The target reported approximately $17.3 million of revenue and about $3.0 million of net income before tax for fiscal 2025 on an unaudited IFRS basis. The transaction followed an extended due diligence period and remains subject to customary closing conditions and regulatory approvals, with closing expected in Q1 2026.