Arxis, Inc. (NASDAQ:ARXS) (the "Company" or "Arxis"), a publicly-traded industrial compounder formed in partnership with Arcline Investment Management ("Arcline"), today announced it has entered into a definitive agreement to acquire Omnetics Connector Corporation ("Omnetics"), a leading designer and manufacturer of proprietary high-reliability Micro-D-Sub and Nano-D-Sub connectors and interconnect assemblies used in critical defense and space, commercial aerospace, and medical applications.

 

Omnetics, headquartered in Minneapolis, Minnesota, maintains deeply embedded positions across leading defense and space, commercial aerospace, and medical technology platforms where size, weight, and reliability are mission critical. Omnetics is currently privately held and owned by its long-term shareholders.

In addition, Arxis announced the acquisition of MagCanica, Inc. ("MagCanica"), a designer and manufacturer of non-contact, high-precision torque sensors that operate under extreme conditions. MagCanica was previously owned by its founders and employees.

The acquisitions reflect the differentiated value of the Arxis–Arcline partnership. Arcline provides Arxis with institutional capabilities that complement Arxis' operating expertise, including research-driven market mapping, proprietary sourcing access, disciplined underwriting, and capital allocation expertise. These capabilities, which are difficult for a standalone strategic acquiror to replicate, expand Arxis' addressable acquisition universe and strengthen its ability to acquire high-quality businesses with leading positions on long-duration platforms.

"The addition of Omnetics and MagCanica reinforces the power of the Arxis–Arcline partnership in creating a repeatable engine of value creation for Arxis as a next-generation industrial compounder," said Rajeev Amara, Chairman of Arxis and CEO of Arcline.

The combined purchase price is approximately $890 million, representing 12x FY27 estimated adjusted EBITDA.

Omnetics Transaction

Under the terms of the agreement, Arxis is acquiring Omnetics in an all-stock transaction (subject to lockup provisions), reflecting the Omnetics shareholders' requirement to receive public company stock over cash consideration and reinforcing one of the key drivers and benefits of Arxis becoming a public company.

"Omnetics is exactly the kind of business we built Arxis to own. For over 40 years, the company has been the trusted standard in Nano- and Micro-D-Sub connectors for applications where failure is not an option, earning preferred-source positions on long-tenured programs that are highly difficult to replicate," said Kevin Perhamus, President and Chief Executive Officer of Arxis.

Gary Jacobs, President of Omnetics, said, "Arxis shares our deep commitment to innovation, quality, and the customers who rely on us. Joining Arxis gives us the resources and platform to accelerate investment in our products, our technology, and our people, while continuing to deliver high performance and reliability to our customers."

The transaction is subject to customary regulatory approvals and closing conditions and is expected to close in the third quarter of 2026.

Upon closing, Omnetics will operate within Arxis' Electronic Components segment.

William Blair & Company, L.L.C. is serving as financial advisor to Arxis and Vermillion Capital is serving as advisor to Omnetics.

MagCanica Transaction

On June 1, 2026, Arxis completed its acquisition of MagCanica in an all-cash transaction.

"MagCanica's non-contact torque sensors are highly complementary to our existing military flexible driveshaft capabilities and address a growing need across aerospace and defense for real-time monitoring of mission-critical rotating systems," said Kevin Perhamus. "We see clear runway to cross-sell this technology alongside the Arxis portfolio where operators require precise visibility into performance under heavy loads."

MagCanica will operate within Arxis' Electronic Components segment.

Kroll Securities served as financial advisor to MagCanica.