Kraken Robotics has closed its acquisition of Covelya Group Limited, the Canadian marine technology company announced on July 2, completing the roughly CAD $615 million deal first signed in March and creating one of the world's largest pure-play subsea intelligence companies. The transaction brings the Sonardyne, EIVA, Forcys, Voyis, and Chelsea Technologies brands under the Kraken umbrella.
From Signing to Closing in Four Months
The purchase price was funded with approximately $480 million in cash and $135 million in newly issued Kraken shares priced at $8.50 apiece, with the cash portion drawn from a $402.5 million bought-deal subscription receipt offering that closed in March and a newly created $125 million term credit facility. The deal, first announced in late May, cleared all regulatory and stock exchange approvals before completing on July 2.
Covelya's seller retains roughly 4% of Kraken's outstanding shares under a staged lock-up, and Kraken now intends to graduate from the TSX Venture Exchange to a full Toronto Stock Exchange listing by year-end 2026 or early 2027.
Guidance Nearly Doubles
With Covelya consolidated from the closing date, Kraken raised its 2026 guidance to consolidated revenue of $290-320 million and adjusted EBITDA of $65-75 million, up from a prior range of $165-175 million in revenue. Since late May, Kraken and Covelya have booked roughly $13 million and $17 million in new product orders respectively, bringing announced 2026 orders to about $110 million for Kraken and $182 million for Covelya Group. Management is targeting $10 million of cost synergies within 24 months.
New Leadership Structure
Kraken is reorganizing around a corporate group and an operating business led by newly promoted president Bernard Mills, formerly EVP Defence and a veteran of Airbus subsidiary Stelia North America. Covelya chairman Simon Partridge becomes EVP Technology, while Sonardyne managing director Graham Brown takes over products. CEO Greg Reid said the combination positions Kraken as "a global provider of mission-critical, dual-use subsea intelligence solutions" amid rising global defence budgets and growing investment in autonomous underwater systems.
The closing lands in a busy season for consolidation across robotics and autonomy, from Nebius's $643 million Eigen AI purchase to Symbotic's acquisition of ARMS Innovations, and comes just as the IMO's new MASS Code for autonomous ships takes effect, expanding the regulatory runway for the subsea autonomy market Kraken now dominates.
Reporting based on coverage from Kraken Robotics and GlobeNewswire.