SQADVISORSMONTHLYMARKETMONITOR|JUNE2026DEFENSE·SPACE·INTELLIGENCETHISMONTHATAGLANCEPUBLICVALUATIONSS&PA&DEV/EBITDAM&A/DEALACTIVITYIndustryDeals↓-2.2xMoM↑+11MoMTopmover:DefenseElectronicsAggregateDealValue:$11,830.9M17.2x23USDEFENSETECHVENTURELTMDisclosedFundingMIDMARKETDEFENSE-FOCUSEDPRIVATEEQUITYCurrentDryPowder$12.7B~22.3BFirmsmonitored:26↓-14%MoMMonthlyFunding:$453MTotalAUM:$82.6BTOPTAKEAWAYS•Valuations:PullbackAfterMulti-MonthRun-Up.PublicA&DEV/EBITDAdeclinedto17.2x(-2.2xMoM),markingthefirstmeaningfulpullbackafteranextendedrally.DefenseElectronicsremainedthestrongest-performingsubsectordespitebroadermultiplecompression.•M&A:DealFlowAcceleratesDespiteLargerTransactions.Industryactivityincreasedto23announceddealswith$11.8Bofaggregatedisclosedvalue(+11MoM),reflectingimprovingtransactionmomentumacrossdefense,governmentservices,andaerospaceassets.•Venture:FundingNormalizesWhileLong-TermCapitalRemainsStrong.Monthlydisclosedventurefundingdeclinedto$453M(-14%MoM)asactivitynormalizedfollowingMay'sAnduril-drivenmega-round.Despitetheslowdown,LTMdisclosedfundingremainedrobustat$12.7B,underscoringsustainedinvestorcommitmenttodefensetechnology.ARTICLESTOCONSIDERNavigatingthePostShutdownDefenseBudgetLandscape"Thetoplineadjustmentmasksamoresubstantialincreaseforthedevelopmentandprocurementofnewweaponsystems.”A$1.5TDefenseBudget:ImplicationsfortheAirForceandSpaceForce"One-timebudgetspikeshavelimitedimpact…”SpaceForceOfficialsPreppingforMoreBudgetGrowthin2027"ManyobserversquestionwhetherthePentagoncandigestaspendingincreaseofabout50percentinasingleyear.”FutureDefenseTech:MultidomainStackstoBuildAffordableMass“…oldersystems,designeddecadesago,lacktheonboardcompute,energy,andopenarchitectureneededtorunmoderncode.”DefenseSectorDrawsPrivateEquitytoEurope"USmanagerswillnotbeleftbehind…thedefensesectorwasatoptargetin2025asthevalueofUS-basedprivateequityandventurecapitalfirms'investmentsinEuroperosetoafour-yearhigh.”R.LEEPRIEST,JR.lpriest@southwindquilty.comJUSTINCADMANjcadman@southwindquilty.comHARRISONPOWELLhpowell@southwindquilty.com

PUBLICCOMPANYVALUATIONS|JUNE20261-YrHistoricalEBITDAMultiples*24.0x22.0x20.0x18.0xTEV/ForwardEBITDAMultiplesfortheS&PAerospaceDefenseIndex50DayMovingAverage10-YrHistoricalEBITDAMultiples*22.0x17.0x12.0x7.0xTEV/ForwardEBITDAMultiplesfortheS&PAerospaceDefenseIndex200DayMovingAverageSUBSECTORVALUATIONSUMMARYEV/EBITDALTMEV/EBITDAForwardΔMoMEV/RevLTMΔMoMPrimes15.8x15.3x↑2.1x↓Gov'tIntelServices9.8x9.8x↓1.1x↓Gov'tTechnicalServices9.3x8.9x↑0.7x↓DefenseElectronics33.8x27.7x↑6.2x↓Space-Launch&AccessNMNM↑86.3x↓Space-Systems&MfgNMNM↑9.5x↓Space-Satcom17.0x15.4x↓6.2x↓Space-Data&AnalyticsNM16.8x↑24.8x↓NationalSecuritySoftwareNMNM↑11.3x↓Subsector*Source:S&PCapitalIQasofJuly1st.SouthwindQuiltyAdvisors|www.southwindquilty.com

US-BASEDDEFENSETECHVENTUREFUNDINGEXECUTIVESNAPSHOT7$453.0MMonthlyDealsJune2026$12,684MMonthlyFundingJune2026LTMFunding($M)VENTUREFUNDINGROUNDSDateCompanyFundingRoundAmountJun25AskariSeed$9MBuildersVCSovereign'sCapital,SwellVCJun22ScoutSpaceSeriesA(2ndclose)NDVTCVentures,LongKnife,100KMWashingtonHarbourPartners(initiallead)Jun17TwentySeriesB$100MAccelPoint72Ventures,Friends&FamilyCapitalJun17HighGroundSeed$6.5MNextFrontierCapitalTandemVentures,FulcrumCapitalJun16TraysarSeed$25MSilentVenturesLuxCapital,OraGlobal,SteveBlankJun9VolundManufacturingSeed$12MRootVentures,Marlinspike,SquadraOutputVenturesVenturesJun1MachIndustriesSeriesC$300MLeadInvestorsStrategicInvestorsInfiniteCapital,SequoiaCapital,RibbitCapitalBedrockCapitalMONTHLYACTIVITYMonthlyDealActivity7642Jul-2511Sep-25Oct-252Nov-251Dec-252Jan-26Feb-263Mar-262Apr-26May-26Jun-26STRATEGICFOCUS•CapitalDeploymentBroadensBeyondMega-Rounds.FollowingMay'soutsizedfinancingactivity,Junereflectedareturntonormalizedventuremarketswith7disclosedroundstotaling$453M.Capitaldeploymentexpandedacrossmultiplecompaniesandfundingstages,signalingsustainedinvestorengagementdespiteloweraggregatedollars.•ScalingtheDefenseIndustrialBase.Investorscontinueprioritizingtechnologiesthatstrengthendefensemanufacturingcapacity,autonomousplatforms,andresilientsupplychains.ThecombinationofMachIndustries'$300MSeriesC,Twenty's$100MSeriesB,andseveralearly-stagefinancingshighlightscontinuedconvictionincompaniestransitioningfrominnovationtoscalableproduction.Source:Publicfilings,Pitchbook,Crunchbase,proprietaryresearch.Figuresreflectdisclosedamountsonly.SouthwindQuiltyAdvisors|www.southwindquilty.com*SelectUS-baseddefense/dual-useventureinvestments.Dataasannounced/closed.

DEFENSE&GOVERNMENTM&AACTIVITYEXECUTIVESNAPSHOT$1,075M$11,830MAvg.DealSize(Disclosed)23AggregateDealValueTotalDealsKEYTRANSACTIONS(JUNE2026)#DateTargetAcquirerDealSize1Jun1SavannahEnergyPLCND$11.8M2Jun2AstroboticTechnology,Inc.VoyagerTechnologies,Inc.$300.0M3Jun2BreakPointLabs,LLCValiantSolutions,LLCND4Jun4VanteonCorporationContinentalAerospaceTechnologies,Inc.PDWHoldings,Inc.ArclineInvestmentManagementLPND5Jun86Jun8FastenerDistributionHoldings,LLC7Jun98$535.0MBainCapital,LPNDRiverpointMedical,LLCNovantaInc.(NasdaqGS:NOVT)$1,450.0MJun11FuturamicTool&EngineeringLLCAdvancedIntegrationTechnologyND9Jun11LeadingEdgeHoldings,LLCEquivuCapital,LLCND10Jun11Insignis,LLCWovenSolutions,LLCND11Jun15NorthStarScientificCorporationGlobalAirLogisticsandTraining,ND12Jun16AerospaceContacts,LLCITTInc.(NYSE:ITT)$31.0M13Jun17AstroNova,Inc.(NasdaqGM:ALOT)ArclineInvestmentManagement$280.0M14Jun18BlueCanyonTechnologiesLLCMDASpaceLtd.(TSX:MDA)$620.0M15Jun22UltraElectronicsAdvancedTacticalSystems,Inc.BoozAllenHamiltonInc.$720.0M16Jun22GenesysIndustries,IncGreybullStewardshipLLCND17Jun22ItenDefense,LLCNPAerospaceLimitedND18Jun22Spirit'sgatesC4&C6DeltaAirLines,Inc.(NYSE:DAL)$12.0M19Jun23BerryAviation,Inc.BristowGroupInc.(NYSE:VTOL)$105.0M20Jun25Space-ngInc.FireflyAerospaceInc.ND21Jun26SpaceExplorationTechnologiesQuantumCyberN.V.ND22Jun29IridiumCommunicationsInc.RocketLabCorporation$7,766.1M23Jun30RotorcraftLeasingCompany,LLCVoyagerInterests,LLCNDSource:CapitalIQSouthwindQuiltyAdvisors|www.southwindquilty.com

ACTIVEMIDDLEMARKETPEFIRMSDRYPOWDERSNAPSHOT~$22,271$82,62526TotalEst.DryPowder($M)TotalAUM($M)TotalFirmsTOP5DRYPOWDERFirmAUM($M)#ofFundsDryPowder($M)ArlingtonCapitalPartners18,19575,004AEIndustrialPartners9,20082,530J.F.Lehmen&Co.9,00772,477OceanSoundPartners8,20032,255BrightstarCapitalPartners5,00041,375TOPLTMACTIVITY#ofTransactionsTotalDealValue($M)GodspeedCapitalManagement6NDFederalTech/MissionSolutions,Engineering/Technology,SpaceSystems/CybersecurityCenterGateCapital5NDIndustrialMaintenance,MedicalCompressionGarmentsFalfurriasManagementPartners5$557RenovusCapital5$200WashingtonHarbourPartners5$202FirmPrimarySectorFocusHealthcare/Cyber/Food/Tech,Food&Beverage/Services,PackagedFoods/ProteinMultipleSectors,FederalIT/CybersecuritySpaceAutonomy,Space/SatelliteTech,DefenseTech/DronesMONTHLYACTIVITY(JUNE2026)FirmDealArlingtonCapitalRiverpointMedical–SalePartnersofportfoliocompanyFalfurriasYouthAthletesUnited–ManagementPartnersInvestmentJ.F.Lehman&Co.CustomAlloySouthwindQuiltyAdvisors|www.southwindquilty.comDealValue($M)PrimarySectorFocus1,450Healthcare/MedicalDevicesNDCommercialServices/YouthSportsNDAerospace/Forgings

APPENDIX–DEFINITIONS,SOURCES&DISCLOSURESDefinitionsUS-BasedDefenseTech—PrivatelyheldorpubliclytradedcompaniesheadquarteredintheUnitedStatesthatderiveamaterialportionofrevenuefromdefense,nationalsecurity,intelligence,ordual-usetechnologyapplicationsacrosshardware,software,andservices.DryPowder(Definition/ProxyUsed)—Uncommittedcapitalavailablefordeploymentbyprivateequity,venturecapital,andgrowthequityfundsfocusedonaerospace,defense,andgovernmenttechnologyverticals.FiguresaresourcedfromPreqinandPitchBookfund-leveldatawhereavailable;wheredirectdataisunavailable,sector-adjustedestimatesareappliedasaproxy.A&DManufacturing/MRO—Companiesengagedinthedesign,production,assembly,andmaintenance,repair,andoverhaul(MRO)ofaerospaceanddefenseplatforms,subsystems,andcomponents.GovTech/ITServices—Firmsprovidinginformationtechnologysolutions,managedservices,systemsintegration,anddigitaltransformationcapabilitiesprimarilytoU.S.federal,state,andlocalgovernmentagencies.ISR/Cyber/Space—Companiesoperatingacrossintelligence,surveillance,andreconnaissance(ISR);cybersecurity;electronicwarfare;andspace-basedsystemsincludingsatellitecommunications,launchservices,andorbitalinfrastructure.MissionSystems/Electronics—Providersofmission-criticalelectronics,avionics,embeddedcomputing,sensors,andcommand-and-controlsystemssupportingdefenseandintelligenceplatforms.DataSources•S&PCapitalIQ—Publiccompanyfinancials,valuationmultiples,andtransactiondata•Crunchbase—Early-stageventurefundingroundsandstartupecosystemdata•CompanyFilings—SECfilings(10-K,10-Q,8-K,proxystatements)andinvestorpresentations•PublicDisclosures—Pressreleases,earningstranscripts,andregulatoryfilingsDisclosures/DisclaimersThispresentationhasbeenpreparedbySouthwindQuiltyAdvisorsforinformationalpurposesonlyanddoesnotconstituteanoffertosell,asolicitationofanoffertobuy,orarecommendationofanysecurity,investmentproduct,orinvestmentstrategy.Theinformationcontainedhereinisbelievedtobereliablebutisnotguaranteedastoitsaccuracyorcompleteness.Datahasbeensourcedfromthird-partyprovidersandpublicfilings;SouthwindQuiltyAdvisorsmakesnorepresentationorwarranty,expressorimplied,regardingtheaccuracy,completeness,ortimelinessofsuchinformation.Thismaterialdoesnotconstituteinvestmentadviceandshouldnotberelieduponassuch.Recipientsshouldconsulttheirownlegal,tax,andfinancialadvisorsbeforemakinganyinvestmentdecisions.Pastperformanceisnotindicativeoffutureresults.SouthwindQuiltyAdvisors,itsaffiliates,officers,directors,andemployeesmayholdpositionsinsecuritiesdiscussedherein.Thispresentationisconfidentialandintendedsolelyfortheuseoftheintendedrecipient(s).Unauthorizedreproductionordistributionisstrictlyprohibited.SouthwindQuiltyAdvisors|www.southwindquilty.com