Prometheus Energetics Breaks Ground on New Solid Rocket Motor Manufacturing Campus in Indiana

Prometheus Energetics (KTOS) broke ground Feb. 20, 2026 on a new 600-acre solid rocket motor (SRM) manufacturing campus in Bloomfield, Indiana, as anchor of ACMI's National Security Industrial Hub.

Rhea-AI Summary

Prometheus Energetics (KTOS) broke ground Feb. 20, 2026 on a new 600-acre solid rocket motor (SRM) manufacturing campus in Bloomfield, Indiana, as anchor of ACMI's National Security Industrial Hub. Kratos and RAFAEL committed up to $175 million capital. The campus targets four production lines, up to 800 tons of energetics capacity, and plans SRM production to begin in 2027 following construction and certification.

The facility aims to strengthen domestic SRM supply, scale production rapidly, and create high-skilled manufacturing jobs while supporting U.S. and allied defense needs.

Positive

• Capital committed: $175 million by Kratos and RAFAEL
• Site size: 600-acre campus as NSIH anchor tenant
• Production capacity: Up to 800 tons of domestic energetics

Negative

• SRM start depends on completion of construction and RAFAEL certification for 2027 start

Argus Feb 20 session

-9.08% close to close Open Argus

Details

News Market Reaction – KTOS

On Feb 20, the day this news came out, KTOS closed 9.08% below the previous close.

Data tracked by StockTitan Argus for the Feb 20 session.

Market Context

On Feb 20, the day this news came out, the stock closed 9.1% below the previous close. A negative re...

Analysis

On Feb 20, the day this news came out, the stock closed 9.1% below the previous close. A negative reaction despite the Prometheus campus announcement would contrast with prior positive responses to expansion and contract wins, such as the 5.7% and 3.27% moves on recent awards. It would more closely resemble the -5.39% divergence seen after Kratos entered the Drone Dominance program. In that scenario, investors would need to weigh long lead times to 2027 production and execution risks against the strategic value of added SRM and energetics capacity.

Key Figures

Campus size: 600 acres Production lines: 4 solid rocket motor lines Energetics capacity: 800 tons +2 more

Campus size

600 acres

Planned solid rocket motor manufacturing campus in Indiana

Production lines

4 solid rocket motor lines

Designed capacity of Prometheus manufacturing campus

Energetics capacity

800 tons

Planned domestic energetics manufacturing capacity at campus

Capital commitment

$175 million

Kratos and RAFAEL joint capital to establish Prometheus and campus

SRM production start

2027

Projected start of solid rocket motor production after construction and certification

Historical Context

5 past events · Latest: Feb 18

5 events

1. Feb 18

   Hypersonic contract win

   24h Move

   +5.7%

   Award to support hypersonic vehicle thermal protection system testing.

2. Feb 17

   Satellite ground contract

   24h Move

   +3.3%

   Multi-million Airbus contract for OmanSat-1 ground segment delivery.

3. Feb 13

   Autonomy deployment

   24h Move

   +2.3%

   Expansion of automated truck platooning for NASCAR logistics operations.

4. Feb 13

   Earnings call scheduled

   24h Move

   +2.3%

   Announcement of Q4 and FY25 earnings release and conference call timing.

5. Feb 10

   Drone program selection

   24h Move

   -5.4%

   Selection for Phase 1 Gauntlet in Drone Dominance Program.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

solid rocket motors, propulsion systems

2 terms

solid rocket motors technical

"a U.S.-based merchant supplier of solid rocket motors (SRMs) and energetics"

Solid rocket motors are propulsion units that burn a solid fuel and oxidizer packed into a rigid case to produce thrust, similar to how a firework or candle releases energy through combustion. Investors care because these motors are widely used for satellite launches, military systems and emergency boosters; their simplicity, manufacturing risk, safety record, and long-term supply contracts can strongly affect a manufacturer’s costs, revenue visibility and regulatory or liability exposure.

propulsion systems technical

"accelerate production of critical propulsion systems and expand second-source capacity"

Propulsion systems are the engines, motors and related parts that make vehicles, vessels or spacecraft move—think of them as the mechanical 'power plant' or car engine that pushes something forward. For investors, the type and efficiency of a propulsion system matter because they drive fuel or energy costs, maintenance needs, regulatory compliance, performance and product appeal, all of which affect a maker’s sales, profit margins and future growth potential.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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BLOOMFIELD, Ind. , Feb. 20, 2026 /PRNewswire/ -- Prometheus Energetics, LLC, a U.S.-based merchant supplier of solid rocket motors (SRMs) and energetics and a joint venture between Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) and RAFAEL Advanced Defense Systems Ltd., today marked a major milestone with the official groundbreaking of its new solid rocket motor manufacturing campus in Indiana. The ceremony, hosted jointly with the American Center for Manufacturing and Innovation (ACMI), signals the transition of Prometheus from launch phase into full execution of its domestic production strategy. The ceremony was attended by senior government leaders, along with state and local officials, industry partners, and members of the surrounding Indiana community, underscoring the broad national and regional support for the Prometheus campus.

The United States faces a growing gap in solid rocket motor and energetics production, one that represents not only a supply chain challenge, but a national security vulnerability. As demand for advanced munitions increases across multiple domains, restoring trusted, domestic production capacity has become critical to sustaining deterrence and operational readiness. Prometheus was established to directly address this challenge by removing bottlenecks in the U.S. energetics supply chain and delivering scalable production at speed.

Prometheus will serve as the anchor tenant for ACMI's National Security Industrial Hub (NSIH) in Bloomfield, Indiana. Prometheus's planned manufacturing campus will span approximately 600 acres and is designed to support four solid rocket motor production lines, delivering up to 800 tons of domestic energetics manufacturing capacity, with room for future expansion. Leveraging shared infrastructure and a co-located manufacturing ecosystem, the campus is purpose-built to rapidly scale production, strengthen domestic readiness, and restore depth and resiliency to the U.S. defense industrial base.

"Today's groundbreaking represents far more than the start of construction," said Dan Merenda, Chief Operating Officer of Prometheus Energetics. "It marks the moment when a known vulnerability in America's solid rocket motor supply chain begins to be closed. Prometheus was created to operate at production scale, delivering trusted, domestically produced energetics systems to meet urgent and long-term U.S. and allied defense needs. This campus is foundational to ensuring readiness is more than a promise, it is a certainty."

Kratos and RAFAEL have jointly committed up to $175 million in capital to establish Prometheus Energetics and its state-of-the-art manufacturing campus, including property, plant, equipment, workforce development, and technology transfer. Following construction and certification of RAFAEL's combat-proven manufacturing processes, Prometheus is projected to begin SRM production in 2027.

RAFAEL brings decades of vertically integrated energetics expertise and combat-proven technologies supporting systems such as Iron Dome, David's Sling, and other advanced air and missile defense platforms. Kratos contributes extensive U.S. production experience across hypersonics, ballistic missile targets, sub-orbital research vehicles, and solid rocket motors. Together, the partners established Prometheus to function as an independent, merchant supplier capable of supporting multiple programs of record while restoring depth and resiliency to the U.S. munitions supply chain. These combat-proven capabilities ensure that when adapted for U.S. platforms, performance is not aspirational, it is certain.

"The establishment of Prometheus is a strategic step in strengthening the U.S. defense industrial base," said Eric DeMarco, President and CEO of Kratos. "Breaking ground on this campus reflects our shared commitment with RAFAEL to invest our own dollars to rapidly stand up trusted, domestic production capacity that can operate at scale and deliver real products affordably and with speed."

"This groundbreaking advances our strategic partnership with Kratos and will ensure reliable access to advanced, combat-proven energetics for U.S. and allied forces," said CEO and President of Rafael Yoav Tourgeman. "The Prometheus campus represents Rafael's approach to localized and resilient production in response to modern defense requirements."

Prometheus will establish its headquarters and primary production operations on approximately 600 acres of the NSIH site, leveraging the campus ecosystem to accelerate production of critical propulsion systems and expand second-source capacity across major missile programs.

Major construction activities are expected to progress through phased development, with the campus ultimately supporting large-scale SRM and energetics production while creating high-skilled manufacturing jobs in Indiana. Prometheus will continue working closely with ACMI, state and local partners, and federal stakeholders to align the campus buildout with workforce development, infrastructure investment, and national security priorities. In an era of increasingly complex global threats, the Prometheus campus represents a decisive step toward restoring American energetics production at scale bringing speed, resilience, and proven capability back to the U.S. defense industrial base.

Prometheus. Bringing Fire to the Fight.

About Prometheus Energetics, LLC
Prometheus Energetics is a U.S.-based merchant supplier of solid rocket motors (SRMs) and energetics, established to close critical gaps in America's propulsion manufacturing base. Prometheus is a strategic joint venture between Kratos Defense & Security Solutions, Inc. and RAFAEL Advanced Defense Systems Ltd. Headquartered in Indiana, Prometheus is dedicated to strengthening the U.S. defense industrial base by providing a resilient, competitive, and scalable domestic supply of SRMs. Leveraging Kratos' expertise in hypersonic and advanced propulsion systems and RAFAEL's combat-proven energetics technologies, Prometheus is expected to deliver ready-to-field, high-performance solutions to support critical missile systems for the U.S. and its allies. Learn more at www.prometheusenergetics.com.

About Kratos Defense & Security Solutions
Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) is a technology, products, system and software company addressing the defense, national security, and commercial markets. Kratos makes true internally funded research, development, capital and other investments, to rapidly develop, produce and field solutions that address our customers' mission critical needs and requirements. At Kratos, affordability is a technology, and we seek to utilize proven, leading edge approaches and technology, not unproven bleeding edge approaches or technology, with Kratos' approach designed to reduce cost, schedule and risk, enabling us to be first to market with cost effective solutions. We believe that Kratos is known as an innovative disruptive change agent in the industry, a company that is an expert in designing products and systems up front for successful rapid, large quantity, low-cost future manufacturing which is a value add competitive differentiator for our large traditional prime system integrator partners and also to our government and commercial customers. Kratos intends to pursue program and contract opportunities as the prime or lead contractor when we believe that our probability of win (PWin) is high and any investment required by Kratos is within our capital resource comfort level. We intend to partner and team with a large, traditional system integrator when our assessment of PWin is greater or required investment is beyond Kratos' comfort level. Kratos' primary business areas include virtualized ground systems for satellites and space vehicles including software for command & control (C2) and telemetry, tracking and control (TT&C), jet powered unmanned aerial drone systems, advanced vehicles and rocket systems, propulsion systems for drones, missiles, loitering munitions, supersonic systems, space craft and launch systems, C5ISR and microwave electronic products for missile, radar, missile defense, space, satellite, counter UAS, directed energy, communication and other systems, and virtual & augmented reality training systems for the warfighter. For more information, visit www.KratosDefense.com.

About RAFAEL Advanced Defense Systems Ltd.
Established in 1948, RAFAEL Advanced Defense Systems Ltd. develops, manufactures, and sustains combat-proven technologies, products, and systems-of-systems for air, land, naval, space and digital applications. As the developer of two integral layers of Israel's multi-layered air defense array and the developer of the world's only operation active protection system TROPHY APS, the company offers innovative and proven solutions for the global market. RAFAEL's air defense portfolio has achieved international recognition from Iron Dome to David's Sling and notably provide the first ever operational high-energy laser weapon system to the IDF in 2025. The company has bolstered its international standing as a top-tier defense manufacturer through an innovative approach of vertical integration enabling seamless technology transfer and local production, making it a trusted partner for defense solutions in global markets, particularly in the U.S. where its systems strengthen national security priorities. Leveraging its technological ingenuity, operational experience, and unparalleled understanding of evolving combat requirements, RAFAEL provides global warfighters with today's most advanced technologies and life-saving defense solutions that ensure operational superiority. RAFAEL's strategy includes strategic international partnerships and localization to ensure customer sovereignty. For more information on RAFAEL, please visit https://www.rafael.co.il

About ACMI
The American Center for Manufacturing & Innovation (ACMI) is an industrial group focused on revitalizing the United States' manufacturing base by building essential infrastructure and providing the strategic investment and support modern manufacturers need to scale. Operating through its affiliates—ACMI Federal, ACMI Capital, and ACMI Properties—ACMI aligns public and private capital, specialized resources, and technical expertise to bridge critical gaps in domestic production. By partnering with emerging and established companies across vital industrial sectors, ACMI is expanding U.S. manufacturing capacity, strengthening supply chains, accelerating innovation, and increasing economic resilience across the American industrial base. Learn more at www.ACMIGroup.com.

Contact: Alex.Flanagan@prometheusenergetics.com

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SOURCE Prometheus Energetics, LLC

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What did Prometheus Energetics (KTOS) announce on Feb. 20, 2026 about the Indiana campus?

They announced groundbreaking of a 600-acre SRM manufacturing campus in Bloomfield, Indiana. According to the company, Kratos and RAFAEL committed up to $175 million and the site will host four production lines and expand energetics capacity.

When will Prometheus (KTOS) begin solid rocket motor production at the new campus?

Prometheus projects SRM production to begin in 2027 after construction and certification. According to the company, RAFAEL's manufacturing processes must be certified before production can commence.

How much production capacity will Prometheus Energetics (KTOS) add with the new Indiana campus?

The campus is designed to deliver up to 800 tons of domestic energetics manufacturing capacity. According to the company, four production lines and shared NSIH infrastructure enable rapid scale-up and future expansion.

How is Prometheus funded for the Bloomfield campus and what does that mean for KTOS investors?

Kratos and RAFAEL jointly committed up to $175 million to establish Prometheus. According to the company, funds cover property, plant, equipment, workforce development, and technology transfer for the campus buildout.

What strategic role does the Prometheus campus play for U.S. defense and KTOS?

The campus aims to restore domestic SRM and energetics supply and increase resilience in the defense industrial base. According to the company, it will serve as ACMI's NSIH anchor, supporting U.S. and allied munitions programs.