Castelion Ceo Says $1 Billion Funding Will Scale Blackbeard Hypersonic Missile Production And Expand U.s. Weapons Capacity

The financing combines $800 million in equity with $250 million in committed financing for a revolving credit facility. The equity round was co-led by JPMorganChase’s Strategic Investment Group, Andreessen Horowitz and funds managed by Carlyle.

Castelion said it has secured more than $500 million in U.S. military contracts during the past 18 months. The company moved Blackbeard from a clean-sheet design to a program of record in less than four years, with fielding targeted for 2027.

“Deterrence depends on unapologetic American strength; highly capable weapon systems that adversaries fear produced in quantities they can’t imagine at a price taxpayers can afford,” said Bryon Hargis, Co-Founder and CEO of Castelion. “There’s a manufacturing renaissance underway and this round turbocharges American production of Blackbeard.”

“Designed in California, built in New Mexico, supplied from small and large businesses across the United States; Blackbeard is an example of what America can do when private capital and Government work together,” Hargis said. Castelion plans to commit hundreds of millions of additional dollars to increase Blackbeard production capacity.

Much of that investment will support Project Ranger, Castelion’s 1,000-acre campus in Sandoval County, New Mexico. The company describes the site as the largest dedicated hypersonic missile manufacturing facility in the United States and previously committed more than $250 million in private infrastructure spending there.

The new funding will also accelerate development and testing of a longer-range precision-strike weapon that has been under development for several years. Castelion said the weapon uses core technologies, components and manufacturing techniques from Blackbeard and is intended to provide a lower-cost option that can be produced at higher rates.

Castelion is also developing defensive systems using technologies and manufacturing methods established for Blackbeard. The effort is focused on reducing costs, increasing production rates and providing greater magazine depth for air and missile defense missions.

“Castelion is helping to address a critical national security challenge by bringing greater speed, agility and manufacturing capacity to the development of next-generation defense technologies,” said Todd Combs, Head of the Strategic Investment Group for JPMorganChase’s Security and Resiliency Initiative. “Through the Strategic Investment Group, part of the firm’s Security and Resiliency Initiative, JPMorganChase is proud to support companies that are strengthening the defense industrial base, delivering more affordable and scalable solutions to today’s pressing challenges, and advancing the innovation that underpins long-term national and economic security.”

Castelion said it has progressed from early development to repeated flight testing, operational integration and dedicated high-rate production capacity. The company plans to use the Series C capital to scale Blackbeard, expand its strike portfolio and develop new defensive systems.

Lightspeed Venture Partners, Lavrock Ventures, Altimeter, General Catalyst and Interlagos also participated in the financing. T. Rowe Price Associates joined the round as a new investor.