Cemtrex (CETX) Stock Jumps 33% After Snapping Up Indiana Engineering Firm

TLDR

• Cemtrex’s Advanced Industrial Services unit acquired Plant Engineering Services (PES) for $3.5 million in cash
• Up to $1.5 million in additional payments possible, tied to performance milestones over three years
• PES expected to add $4M–$5M in revenue within the next 12 months
• CETX stock jumped as much as 33% on the news, trading around $3.35
• This is Cemtrex’s third acquisition this fiscal year, with a fourth already in the pipeline

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Cemtrex (CETX) made a move on Thursday, announcing its Advanced Industrial Services (AIS) subsidiary has acquired Plant Engineering Services (PES), a Fort Wayne, Indiana-based engineering firm, for approximately $3.5 million in cash.

Cemtrex, Inc., CETX

CETX stock shot up as much as 33% on the news, trading around $3.35 at time of writing — though that’s still well off its longer-term highs. The stock had fallen 98% over the past year before Thursday’s jump.

The deal includes an earn-out clause of up to $1.5 million, tied to PES hitting certain performance targets over the next three years. Cemtrex funded the purchase entirely from cash on hand.

For context, the acquisition price of $3.5 million is larger than Cemtrex’s entire market cap of $3.11 million. The company also carries $22.78 million in total debt, which makes the scale of this deal worth noting.

PES specializes in the design, modernization, and relocation of hydraulic and mechanical press systems. It serves customers in aerospace forging, automotive manufacturing, defense, and heavy trucking. The firm has been operating for over 30 years.

Cemtrex expects PES to be profitable from day one and to contribute between $4 million and $5 million to its top line over the next 12 months, based on historical performance and current backlog.

What PES Brings to the Table

PES founder Mark Bohler will stay on as president, and the business will keep its brand identity and Fort Wayne operations intact. No disruption to the existing team is planned.

CEO Saagar Govil said the deal fills a gap AIS didn’t previously have. “PES brings deep engineering expertise that AIS has never had in-house, and AIS brings the field execution resources that PES has historically sourced externally,” he said.

The combination pulls together experience in rigging, millwrighting, electrical and mechanical installation, hydraulics, and automation under one roof.

AIS itself has grown from around $21 million in annual revenue in fiscal 2022 to roughly $38 million in fiscal 2025, a solid run for the subsidiary even as the parent company’s stock struggled.

More Deals Coming

This is Cemtrex’s third completed acquisition in the current fiscal year. The company has already signed a letter of intent for a fourth deal, expected to close in the September quarter.

Elsewhere in the Cemtrex portfolio, its Vicon Industries unit recently landed a roughly $2 million security technology order for a UK correctional facility. Subsidiary Invocon also picked up a Phase I SBIR contract from the Naval Sea Systems Command tied to modular mine warfare components.

CETX stock was up 19.64% at $3.35 as of the latest available data.