CEMTREX INC acquired substantially all Assets of Plant Engineering Services for $3,500,000 in cash on July 1, 2026, with up to approximately $1,750,000 in contingent earnout consideration. The transaction integrates PES operations into Cemtrex’s Industrial Services Segment and gives investors specific purchase-price and future payment terms.

Key Highlights

  • Seller Parties can receive up to approximately $1,750,000 over a three-year period if specified Gross Profit targets are achieved.
  • The transaction’s total Fair Value of purchase price was $3,570,424 after transaction costs, contingent consideration and Working Capital adjustments.
  • Acquired assets totaled $409,566, while assumed liabilities totaled $2,755,409 as of July 1, 2026.

The purchase price was $3,500,000 in cash, subject to a working capital adjustment, with certain liabilities also assumed. The transaction took effect on July 1, 2026, and PES operations were integrated into Cemtrex (NASDAQ: CETX)’s Industrial Services Segment. The earnout depends on achieving specified gross profit targets.

Purchase Price Breakdown

The transaction’s total fair value of purchase price was $3,570,424. Cash consideration began at $3,500,000, followed by $279,793 in transaction fees and expenses, producing total cash consideration of $3,220,207. Contingent consideration was valued at $859,031. These components produced the reported fair value assigned to the purchase price. The purchase agreement involved AIS Engineering, PES and Mark Bohler.

Assets And Liabilities Assumed

The acquired assets had a reported total of $409,566 as of July 1, 2026. Trade receivables, net, were $141,367, while prepaid expenses were $38,994, resulting in total current assets of $180,361. Property and equipment, net, amounted to $24,812. Assumed liabilities totaled $2,755,409. Accounts Payable were $155,009, short-term operating Lease liabilities were $55,207 and contract liabilities were $2,396,007, bringing total current liabilities to $2,606,223.

Accounting Information For PES

The materials were prepared under U.S. GAAP for the acquisition. The accounting firm Grassi & Co. CPAs, P.C. audited the statement and said it fairly presented the acquired assets and assumed liabilities in conformity with U.S. GAAP. Grassi & Co. has served as Cemtrex’s auditor since 2021. The pro forma information is presented for informational purposes and is not intended to represent the actual combined operating results for the periods shown or project future results.