Core Viewpoint - Theon International Plc has announced the acquisition of Kappa Optronics GmbH for an Enterprise Value of €75 million, aiming to enhance its capabilities in aviation and land optronics [3][4]. Company Overview - Kappa Optronics GmbH, founded in 1978 and based in Göttingen, Germany, operates with an R&D-driven, asset-light model, focusing on design, assembly, and quality assurance [4]. - The company employs approximately 200 people, including 60 engineers, and operates in about 3,000 sq.m. of space [4]. Financial Performance - Kappa is projected to exceed €37 million in revenue for FY 2025, with an EBITDA of approximately €8 million, driven mainly by defense mobility and autonomous machines [5]. - The acquisition is expected to support strong top-line growth and sustained margins, with the potential for Kappa to achieve EBIT margins in the mid-twenties [5]. Strategic Importance - The acquisition strengthens Theon's footprint in Germany and expands its electro-optics product offerings for land and aerial platforms [8]. - Theon anticipates immediate accretiveness from the acquisition and plans to leverage Kappa's technology and innovation culture to enhance R&D capabilities [8][9]. Future Outlook - Theon will provide guidance for FY 2026 by October, reflecting the new growth trajectory post-acquisition [7]. - The company is committed to further strategic moves to accelerate expansion in platform-based systems through both organic growth and acquisitions [9].