A&D Weekly News & Transactions - Week 9

Industry Headline News

Firefly Aerospace Plans Alpha Rocket Return to Flight Following Grounding
Mar. 1, 2026 - Firefly Aerospace prepared to return its Alpha rocket to flight with the “Stairway to Seven” mission after a nearly 10-month stand-down following prior failures. The mission aims to validate key rocket systems ahead of future upgrades but was postponed due to high winds at Vandenberg Space Force Base. The company and launch team continue preparations for another launch opportunity as part of efforts to restore operational confidence in the Alpha vehicle. (Space.com)

XTI Aerospace’s Drone Nerds Business Adds AntiGravity A1 360-Degree Drone to Product Line
Feb. 26, 2026 - XTI Aerospace announced an expansion of its Drone Nerds product line with the addition of the AntiGravity A1 360-degree drone. The new unmanned system enhances the company’s portfolio with all-around imaging and operational flexibility for commercial and defense customers. XTI said the product diversification supports growth in markets seeking advanced aerial data capture and situational awareness platforms. (PR Newswire)

Rockford-Based Kaney Aerospace Bought by New Jersey Company
Feb. 25, 2026 - Velocity One, an aerospace and defense company headquartered in Hoboken, New Jersey, has completed its acquisition of Rockford, Illinois-based Kaney Aerospace. Kaney Aerospace is known for electromechanical actuation, motion control, and advanced power solutions used in aerospace and other sectors. Velocity One said the acquisition will expand its technical capabilities and market reach while preserving Kaney’s engineering strengths. (WIFR)

GE Aerospace Secures Defense Logistics Agency Contract to Boost J85 Engine Readiness
Feb. 25, 2026 - GE Aerospace has been awarded a Defense Logistics Agency contract to enhance the operational readiness of the J85 turbojet engine that powers the U.S. Air Force’s T-38 trainer fleet. Under the digitally enabled TrueChoice Defense agreement, GE will use artificial intelligence and advanced analytics to integrate data across the Air Force, DLA, and GE systems to better forecast parts demand and strengthen supply visibility. The initial contract period runs seven months with a potential four-year extension, and includes collaboration with Palantir to improve sustainment efficiency and fleet availability. (ExecutiveBiz)

Trump Tariff Pivot Could Benefit Brazil’s Embraer, U.S. Airlines and Aerospace Industry
Feb. 24, 2026 - The Trump administration’s revised tariff regime exempts commercial aircraft, engines, and parts from newly imposed global import duties, potentially easing a competitive disadvantage faced by Brazil’s Embraer in the U.S. market. Aircraft previously subject to a 10% tariff can now enter the United States duty-free, which industry experts said could accelerate Embraer regional jet imports and benefit U.S. airlines with Embraer fleets. Industry attorneys still cautioned that broader tariffs on related materials could continue to raise costs for aerospace manufacturing. (Reuters)

Weekly Transaction Review

No.	Parties Involved	Transaction Metrics			Location	Segment
	Target [Parent] Acquirer [Parent]	Price ($M)	Price/ Revenue	Price/ EBITDA	Target	Target
1	S-TEC Model 3100 Autopilot business of Moog [Moog] Innovative Aerosystems	-	-	-	Mineral Wells, TX	Controls & Systems
2	Vantage Associates Aviation Equipment Processing	-	-	-	Costa Mesa, CA	Composites
3	J&C Aero Setna iO	-	-	-	Vilnius, Lithuania	MRO & Logistics
4	Sev1Tech [DFW Capital] Earth Resources Technology [Macquarie Group]	-	-	-	Woodbridge, VA	Government Services, IT Services and Software
5	Vestigo Aerospace Applied Aerospace & Defense [Greenbriar Equity]	-	-	-	Los Angeles, CA	Government Services, IT Services and Software
6	Hydraulics International Inc. Arcline	-	-	-	Chatsworth, CA	MRO & Logistics
7	Kaney Aerospace Velocity One [Charlesbank Capital]	-	-	-	Rockford, IL	Components & Subsystems
8	Security 101 [Gemspring Capital] Morgan Stanley Capital	-	-	-	West Palm Beach, FL	Cybersecurity, Intelligence Services and Homeland Defense
9	Sharang Shakti LAT Aerospace	-	-	-	Gurugram, India	Unmanned Vehicles
10	Bay Electronics Mettle Ops	-	-	-	Roseville, MI	Electronics Manufacturing (EMS) & Harnessing
11	Vidrovr CesiumAstro	-	-	-	New York, NY	Government Services, IT Services and Software
12	Valencepoint Woven Solutions [Falfurrias Capital]	-	-	-	Washington, D.C., United States	Government Services, IT Services and Software

No.	Target Descriptions
1	The S-TEC Model 3100 is a mature, digital 3-axis autopilot system that integrates lateral and vertical navigation, automatic trim, envelope protection, and modern interfaces for avionics displays.
2	Vantage Associates manufactures metal, composite, and thermoformed plastic components and assemblies for aerospace and defense applications. The company supports military and commercial programs through precision machining, composite fabrication, and aircraft plastic interior products, including radomes, fairings, and FAA-approved cabin components.
3	J&C Aero designs, manufactures, and modifies aircraft interior components supporting cabin refurbishment and reconfiguration programs for commercial aviation operators. The company provides interior engineering, production, maintenance, and parts supply services, including seating, cabin structures, and interior equipment supported by EASA-certified capabilities.
4	Sev1Tech is provider of enterprise IT and program management support services for private sector and U.S. federal government defense and homeland security markets. The company specializes in secure digital transformation, tactical edge it & communications, and managed services.
5	Vestigo is a developer of low-earth orbit deorbiting systems for private sector and U.S. federal government markets. The company's Spinnaker product line offers drag sail configurations that are sized to deorbit a broad range of satellites and spacecraft components up to 1,000 kilograms in mass.
6	HII is a manufacturer of integrated products, services and support to military forces, aviation and commercial industries, government agencies and prime contractors. The company specializes in the manufacture of aviation ground support equipment, pumps, flow meters and associated flow computers. Product applications include cabin pressurization, fuel systems, coolanol electronic cooling, aerial lift truck and other test equipment.
7	Kaney is a manufacturer of electromechanical actuation, motion control, and advanced power solutions for private sector and U.S. federal government aerospace and defense markets. The company specializes in motion control and autopilot actuation systems; electric brake systems; cockpit controls; and instrumentation.
8	Security 101 is a provider of integrated commercial security systems for commercial, private sector, and U.S. federal government markets. The company specializes in access control, video surveillance, intrusion detection, and visitor management. The company partners with manufacturers to provide 24/7 site protection, including advanced tools like mobile surveillance trailers and AI-driven analytics.
9	Sharang Shakti develops counter-UAS and airspace surveillance technologies including small-target detection radars and interceptor drones designed to neutralize unauthorized UAV threats. The company focuses on integrated sensing and autonomous interception systems that support modern air defense and aerial security missions.
10	Bay Electronics provides electronics manufacturing services specializing in printed circuit board assembly, electromechanical integration, and cable and wire harness assemblies for aerospace, defense, and industrial customers. The company supports high-reliability programs with testing, quality control, and low-to-mid volume production capabilities aligned with regulated industry requirements.
11	Vidrovr is a provider of AI-enabled real-time multimodal signal analysis solutions for private sector and U.S. federal government aerospace and defense markets. The company's platform transforms pixel-based data across various sources into actionable insights.
12	Valence is a provider of mission management and strategic communication solutions for private sector and U.S. federal government markets. The company's core services include mission management support, customized process improvements, mission analysis, data visualization, and ROI assessments.