Acquisition of a US-based company to build on the Newfoundland company's expertise in underwater imaging.
St. John's, New Jersey-based marine technology company Kraken Robotics has signed an agreement to acquire Longmont, Colorado-based underwater technology company
Longmont, Colorado-based underwater technology company 3D at Depth for USD 17 million (CAD 24.5 million).
3D at Depth has offshore service operations in Houston, Texas and offices in the United Kingdom and provides LiDAR (Underwater Light Detection and Ranging) technology and services for subsea assets and infrastructure, such as oil rig leak detection.
"Kraken and 3D at Depth now offer customers a world-class toolbox for underwater optical and asset integrity measurement."
The final closing price is subject to adjustments for any debt assumed or paid out and other working capital adjustments, Kraken said in a statement. The transaction is expected to close on April 1 and is subject to certain closing conditions, including the approval of Kraken's primary lender.
The acquisition builds on Kraken's expertise in underwater optical systems and "immediately" strengthens the company's presence in the Gulf region of the United States (US), complementing Kraken's work in Northern Europe, Kraken President and CEO Greg Reid said in a statement.
"Upon completion of the acquisition, Kraken will be able to offer a more comprehensive suite of world-class underwater acoustic and optical imaging technologies and services," Reid said. "In addition, the establishment of our first U.S. locations enhances our ability to scale our production in the U.S. in the face of increasing demand."
According to Kraken, 3D at Depth has increased its average project value by more than 45 percent over the past three years thanks to its customers, which include fossil fuel giants such as Exxon, Shell and BP. The company, which currently has 56 employees, has completed more than 450 marine survey projects in 18 countries, according to Kraken.
3D at Depth's underwater LiDAR technology offers greater range in challenging water depths compared to Kraken's similar SeaVision offering, Kraken said in a statement, as well as unique non-contact vibration sensors and temperature measurement capabilities.
"With this combined capability, Kraken and 3D at Depth now offer customers a best-in-class toolbox for underwater optical metrology and asset integrity measurement," Kraken Robotics said in a statement.
Last month, Kraken ranked first in the TSX Venture 50 2025, with its share price rising 323 percent and its market capitalization increasing by over $587 million in the past year. This success followed shortly after the death of Kraken's former CEO and founder, Karl Kenny, at the age of 64.
Cover image courtesy of Kraken Robotics.
