Karman Line Acquisition Corp., a special purpose acquisition company incorporated in Boca Raton, Fla., has completed its initial public offering, raising $200 million through the sale of 20,000,000 units priced at $10.00 per unit.
The company began trading the units on the Nasdaq Global Market under the ticker NASDAQ: XTERU on Aug. 18, 2026. Each unit comprises one Class A ordinary share and one-half of one redeemable warrant. Whole warrants grant the holder the ability to acquire one Class A ordinary share at a strike price of $11.50 per share, subject to specified adjustments.
Karman Line said it expects that, when its securities begin trading separately, the Class A ordinary shares and the warrants will trade on Nasdaq under the symbols NASDAQ: XTER and NASDAQ: XTERW, respectively.
The company disclosed that it intends to concentrate on sectors aligned with space-based infrastructure, with a particular emphasis on aerospace and defense. At the same time, Karman Line retains the flexibility to pursue a business combination in any industry or geography.
On the underwriting side, Cohen & Company Capital Markets, a division of Cohen & Company Securities, LLC, acted as book-running manager for the offering, while Clear Street LLC served as co-book runner. The underwriters received a 45-day option to purchase up to 3,000,000 additional units at the IPO price to cover potential over-allotments.
The registration statement for the offering was declared effective by the U.S. Securities and Exchange Commission on Aug. 17, 2026.
Summary of offering mechanics
- Offering size: $200,000,000 raised through the sale of 20,000,000 units at $10.00 per unit.
- Unit composition: one Class A ordinary share plus one-half of a redeemable warrant; whole warrants exercisable at $11.50 per Class A share, subject to adjustments.
- Trading: units listed on Nasdaq Global Market under NASDAQ: XTERU as of Aug. 18, 2026; separate trading for Class A shares and warrants anticipated under NASDAQ: XTER and NASDAQ: XTERW.
The transaction establishes a publicly traded vehicle focused on space-related infrastructure opportunities while keeping open the option to pivot to other industries or geographic targets for a business combination. The underwriting structure includes a standard 45-day over-allotment option, which, if exercised in full, would add up to 3,000,000 units at the IPO price.
Investors and market participants will be able to monitor separate listings for the Class A shares and the warrants once the company moves to split the unit components into individual securities.