Graham Corporation (NYSE: GHM), a global business that designs, manufactures and sells critical equipment to the oil refining, petrochemical and defense industries, today announced that it has completed the acquisition of management-owned Barber-Nichols Inc. (“BNI”) for $70.1 million in a combination of 87 percent cash and 13 percent stock.

The Company also announced it has entered into new credit facilities including a 5-year term loan to finance a portion of the purchase price.

With $56 million in revenue and low-double digit EBITDA margins, BNI designs and manufactures specialty turbomachinery including highly specialized pumps, compressors and fans, and rocket engine turbopumps for critical applications, primarily in the defense and space industries.

Leading Supplier of Engineered Equipment to the Defense and Aerospace/Space Industries

• Barber-Nichols is a premier supplier of specialty turbomachinery, pumps and electronic drives that address critical applications for the defense and aerospace/space industries.
• Highly engineered products and solutions include advanced propulsion systems and integrated fluid, thermal and power generation systems for extreme environments.
• Acquisition accelerates Graham’s diversification strategy; more than 80 of combined backlog now in the defense industry.
• Proven track record of growth with multiyear visibility; current backlog of $100 million with approximately $40 million to convert into revenue in fiscal 2022.
• Provides a scalable platform for organic and acquisitive growth in the defense, aerospace, advanced power generation, cryogenic and energy storage markets.
• Expected to be immediately accretive to EPS, including shares issued for purchase.
• Daniel J. Thoren, formerly president and CEO of Barber-Nichols, appointed to Graham’s executive team as president and chief operating officer.
• Management to discuss the acquisition on today’s teleconference at 11 a.m. ET.

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