Canadian marine technology company Kraken Robotics has signed a definitive agreement to acquire UK-based Covelya Group for approximately US$615 million in cash and stock, the largest deal in the company's history and one of the biggest pure-play subsea robotics transactions on record.
Inside The $615M Deal
Under the terms announced in late May 2026, Kraken will pay US$480 million in cash and US$135 million in newly issued common shares to acquire Covelya Group, a UK-headquartered subsea technology holding company. Covelya generated about US$365 million in revenue in 2025, roughly three times Kraken's full-year sales, and has compounded annual revenue growth of around 24% since 2023.
The combined company will serve more than 700 defense and commercial customers, operate dedicated naval and commercial business units, and significantly expand Kraken's manufacturing footprint outside North America. Kraken expects the deal to be immediately accretive to earnings and to broaden its addressable market in unmanned underwater systems, synthetic aperture sonar and subsea robotics services.
Why It Matters For Maritime Robotics
The transaction lands during a period of unusually heavy investment in unmanned maritime systems, as Western navies race to field large fleets of autonomous surface and underwater vessels. Kraken's pressure-tolerant batteries, synthetic aperture sonar and KATFISH towed systems are already deployed across multiple NATO programs; Covelya's portfolio of remote and autonomous subsea operations broadens Kraken's reach into commercial offshore wind, oil and gas, and seabed mapping.
The deal also accelerates the trend of consolidation across the maritime robotics market, where defense primes and specialized integrators are seeking scale to compete for the rising number of multi-year USV and UUV programs being awarded in the United States, United Kingdom, France and Australia.
Closing Conditions And Outlook
The acquisition is expected to close in the second quarter of 2026, subject to regulatory approvals and shareholder consent. Kraken said it has secured committed financing for the cash portion of the deal and intends to maintain Covelya's existing UK leadership team and operating brands as the integration progresses.
For Kraken, the deal positions the company as a dual-listed defense and commercial maritime robotics platform with growing exposure to one of the fastest-growing segments of the global robotics market.
Reporting based on coverage from Kraken Robotics' May 2026 announcement and NAI500 / The Globe and Mail.