08 Oct 25. Hoverfly Technologies, the leading provider of tethered drone systems for defense and security, announced the successful close of its $20m Series B funding round, led by existing investor Leonardo DRS (DRS) and new partner Korea Robot Manufacturing (KRM).
The investment is the single largest capital raise in company history and will support Hoverfly’s continued dominance of the tethered drone sector, which is at the forefront of U.S. and allied defense initiatives.
Hoverfly Spectre TeUAS – the first and only tethered drone on the DIU Blue List
Learn more about Hoverfly Technologies at hoverflytech.com.
KEY HIGHLIGHTS
Leonardo DRS, Inc. (Nasdaq: DRS), a leading provider of advanced defense technologies, invested $15m in this round, reaffirming its confidence in Hoverfly’s business model and vision for sustained growth. As part of the investment, Hoverfly signed a manufacturing agreement with DRS to expand production of the Hoverfly Sentry and to launch a new production line for the Hoverfly Spectre system.
“Our continued investment in Hoverfly Technologies reflects our unwavering confidence in their innovative tethered drone solutions,” said Aaron Hankins, Senior Vice President and General Manager of the Leonardo DRS Land Systems Business Unit, and a member of the Hoverfly Board of Directors. “This partnership enables us to bolster U.S. defense capabilities through expanded domestic production and aligns with our shared commitment to strengthening national security.”
Korea Robot Manufacturing Co., Ltd. (KRM) is a South Korean engineering and manufacturing company specializing in sensors and advanced technologies for quadrupedal robots and UAVs. KRM invested $5m in this round. As part of its U.S. expansion, KRM will partner with Hoverfly to establish a new facility dedicated to the domestic production of key components—strengthening support for the U.S. defense sector and enhancing supply chain resilience.
To ensure long-term stability in sourcing critical materials, KRM has secured a reliable supply of high-performance components through a strategic partnership with a supplier outside traditional high-risk regions. This move ensures Hoverfly access to a stable, U.S.-based supply of essential inputs. Through this investment, KRM becomes Hoverfly’s exclusive manufacturer of key components and preferred vendor for future component needs.
“Partnering with Hoverfly enables us to establish a U.S.-based supply chain for critical UAV components—a strategic move aligned with national security priorities, especially amid restrictions on imports from traditional high-risk regions,” said Kwangsik Park, CEO of KRM.
Both DRS and KRM will now serve as official resellers and integrators of Hoverfly’s Sentry and Spectre systems, further expanding Hoverfly’s global reach and production capacity.
“This funding round marks a defining moment for our company,” said Steve Walters, CEO of Hoverfly Technologies. “With the backing of world-class international partners like DRS and KRM, we are poised to rapidly scale operations, expand product offering, and capture new markets, to further establish our market leadership and continue delivering systems that advance and unleash U.S. drone dominance.”
ALIGNING WITH U.S PRIORITIES
Hoverfly’s investment comes at a pivotal time as the U.S. Department of Defense prioritizes the development of secure, American-made unmanned systems. As the only tethered drone on the DIU Blue List, the company’s technology offers a trusted, domestically sourced alternative to foreign drone manufacturers, aligning directly with U.S. national security objectives. By partnering with KRM, Hoverfly is taking its first strategic steps into custom and broadly adopted, expendable drone key components. The goal is straightforward: leverage KRM’s leading engineering and reliability to supply U.S. end-users with cost-effective, high-performance technology. Hoverfly’s newest capability NEXUS (Network Extension of Unmanned Systems) also supports the rapidly growing need for unmanned ecosystems—a critical infrastructure that emerged from the war in Ukraine. Adopted by the U.S. Army in concept and demonstrated alongside industry partners, NEXUS allows Hoverfly to function as both targeting and command-and-control system, significantly extending ranges Beyond Visual Line-of-Sight (BVLOS) for Intelligence, Surveillance, and Reconaissance (ISR), First-Person View (FPV), and loitering drone munitions across land, sea, and air domains. This innovative capability positions Hoverfly as a combat multiplier ready to lead the next wave of U.S. drone defense evolution.
AN EXPANDING MARKET
Though the tethered drone sector remains niche, it continues to expand rapidly with industry forecasts projecting growth from approximately $140m in 2023 to over $2.6bn by 2032 at a combined annual growth rate of 38%. Hoverfly has already sold over 800 tethered drones to U.S. and allied defense customers, demonstrating strong market traction and underscoring that our technology addresses mission-critical needs for persistent ISR, targeting, and tactical network extension.
ABOUT HOVERFLY TECHNOLOGIES
Hoverfly Technologies (Sanford, Florida) is a U.S. based innovator and supplier of tethered drone systems tailored for defense and security applications. Its flagship platforms, Sentry and Spectre, enable extended duration, persistent aerial surveillance, and network extension. Founded to serve mission-critical needs, Hoverfly delivers trusted, American-made systems with expanding production and industry partnerships. Hoverfly also provides training, spare parts, and global maintenance worldwide to its large installed base. (Source: PR Newswire)
08 Oct 25. Muon Space, a leading provider of end-to-end space systems specializing in mission-optimized satellite constellations, today announced it has been awarded a $44.6m Small Business Innovation Research (SBIR) Firm Fixed Price Phase III Other Transaction Authority (OTA) Agreement from the United States Space Force’s Space Systems Command System Delta 810 (SYD 810). The OTA Agreement funds development and on-orbit prototype demonstration of a dual-use space-based environmental monitoring (SBEM) capability that simultaneously serves the Department of Defense (DoD) Meteorology and Oceanography end users for mission planning and execution in addition to global wildfire detection and monitoring. The three-satellite prototype demonstration directly addresses the two highest-priorities in SBEM identified by the Joint Requirements Oversight Council (JROC): Cloud Characterization (CC) and Theater Weather Imagery (TWI). These capabilities are essential for mission planning and execution in contested environments where traditional weather data sources may be unavailable or compromised. The SBIR Phase III OTA agreement is a cornerstone in the Space Force’s push toward hybrid space architectures that integrate commercial capabilities to fill critical needs.
“This mission demonstrates the power of dual-use design – we’re not just adapting existing technology, we’re creating a platform that excels at both missions simultaneously,” said Jonny Dyer, CEO of Muon Space. “By building on our commercial FireSat foundation, we can deliver operational value immediately while proving scalability for future defense missions. We’re honored to continue our partnership with Space Systems Command to help ensure environmental data is accessible when and where it matters most – supporting faster decisions in dynamic, high-stakes conditions.”
This mission builds upon technology developed for Muon’s successful FireSat Protoflight launched in March 2025 in partnership with the nonprofit Earth Fire Alliance (EFA). The first three operational satellites in EFA’s FireSat program are slated to launch in 2026 for global wildfire detection and monitoring. Muon will launch three satellites for Space Systems Command’s prototype demonstration, for further commercial environmental monitoring Data as a Service (DaaS) integration and evaluation. Muon was awarded a SBIR Phase II contract in December 2024 to evolve its multispectral infrared (IR) instrument, Quickbeam, for this dual-purpose application. SYD 810’s FireSat-SBEM Phase III program will deploy three satellites equipped with an enhanced Quickbeam-SBEM payload to demonstrate this operational capability to meet the DoD’s critical SBEM needs. This accelerated timeline is enabled by Muon’s flight-proven Halo™ platform and FireSat flight heritage. The Quickbeam-SBEM variant extends Muon’s dual-use multispectral infrared imaging platform – originally developed for global wildfire management – with enhanced spectral coverage and onboard processing optimized for DoD weather operations. Each satellite will carry the Quickbeam-SBEM sensor, a nine-channel multispectral imager, spanning the visible through long-wave infrared (LWIR) spectrum, capable of capturing atmospheric and thermal conditions with precision and speed.
About Muon Space
Founded in 2021, Muon Space is an end-to-end space systems company that designs, builds, and operates mission-optimized satellite constellations to deliver critical data and enable real-time compute and decision-making in space. Its proprietary technology stack, Halo™, integrates advanced spacecraft platforms, robust payload integration and management, and a powerful software-defined orchestration layer to enable high-performance capabilities at unprecedented speed – from concept to orbit. With state-of-the-art production facilities in Silicon Valley and a growing track record of commercial and national security customers, Muon Space is redefining how critical Earth intelligence is delivered from space. (Source: PR Newswire)
08 Oct 25. Helsing acquire Blue Ocean to speed up AUV production. The move comes after Helsing unveiled its underwater glider and acoustic model, whose production the company aim to accelerate.
- Helsing acquire Blue Ocean, an autonomous systems builder
- The strategic decision was made to scale and accelerate its autonomous systems
- Headquartered in Germany, Helsing emphasise European sovereignty while American suppliers work to form ties through strategic partnerships
Helsing, a German defence company and a leading European supplier, has acquired Blue Ocean, an autonomous underwater vehicles (AUV) builder with a presence in Australia and the UK. This strategic decision, the company detailed in an 8 October 2025 release, is intended to speed up the development and mass production of autonomous platforms for the protection of the underwater battlespace. It comes several months after Helsing unveiled its SG-1 Fathom underwater glider and the Lura large acoustic model, which identifies and classifies enemy acoustic signatures (sounds made by ships and submarines). Just four months ago, Helsing also announced it is building a new ‘resilience factory’ in Plymouth as part of a £350m ($469.4m) investment in the UK. Helsing initially worked to scale Fathom and Lura through a consortium of UK companies including Blue Ocean, QinetiQ, and Ocean Infinity as the product matures.
Effects focus
“The need for a smart autonomous mass-approach is clear,” stated Amanda Gould, managing director of maritime capability at Helsing, referring to the rise of a multiple effects approach to the opaque domain.
Big costly platforms are no longer in vogue, some industry players observed, rather the primary concern for cash-strapped navies will be the ability to rapidly deliver a particular capability in a disaggregated and close-knit network. Underwater surveillance has become a priority for several Northern European navies operating in the North Atlantic Ocean and Baltic Sea. Norway announced that it will purchase British Type 26 frigates – the exact same configuration as the UK – as the two jointly conduct anti submarine warfare (ASW) missions in the North Atlantic. In the East, Nato allies deter Russian efforts to sabotage seabed cables through Baltic Sentry and the deployment of AUVs in the Baltic.
European sovereignty
In their message, Helsing insist on building sovereign capabilities within Europe and Australia. European institutions are particularly concerned about their defence competitiveness, prompting the European Union to issue its inaugural defence industrial strategy in April 2024. Among other objectives, member states aim to ensure that, by 2030, the value of intra-EU defence trade represents at least 35% of the value of the EU defence market. Meanwhile, American defence companies are looking to seep into the European defence market through strategic partnerships. Anduril, for example, has formed ties with the UK company Ultra Maritime, equipping the Dive XLAUV with Ultra’s Sea Spear sonar sensing array. (Source: naval-technology.com)
09 Oct 25. Rheinmetall Hungary Zrt. – Investment announcement ceremony in Zalaegerszeg. Rheinmetall Hungary Zrt. announced a new investment at a ceremony in Zalaegerszeg. The project’s objective is to establish additional development and engineering capacities in order to strengthen local expertise in the field of military vehicle development in the long term. The project is supported by the Hungarian Investment Promotion Agency (HIPA), which is funding €1.4m. This will create around 80 additional jobs for highly qualified engineers at the Zalaegerszeg site. Another focus is on the further development of Rheinmetall’s state-of-the-art vehicle systems, especially on the Lynx KF41 armoured fighting vehicle and the Panther KF51 main battle tank. By expanding its development and testing capacities, Zalaegerszeg will in future play an even stronger role within the international Rheinmetall network.
“In collaboration with our partners from the global Rheinmetall Group and with the support of HIPA, we will significantly increase our capacities and capabilities. This will enable us to increase Hungary’s contribution to some of the latest developments in defence technology, particularly in the field of military vehicles”, explained Paul Walf, CEO of Rheinmetall Hungary Zrt.
The investment announcement was also attended by the Hungarian Foreign and Trade Minister, Péter Szíjjártó. In his speech, he praised Rheinmetall’s decision as a milestone in the modernisation of the Hungarian defence industry and emphasised the importance of international partnerships for the country’s competitiveness.
“This investment will take us one step closer to achieving the goal outlined in the ‘Zrínyi 2026’ programme, which aims at providing our armed forces with modern equipment, manufactured domestically wherever possible”, stated Péter Szíjjártó, Hungary’s Minister of Foreign Affairs and Trade.
With this investment, Rheinmetall is continuing its strategy of growth in Hungary. The combination of international expertise and local know-how creates ideal conditions for efficiently implementing future projects and developing state-of-the-art systems in collaboration with Hungarian partners.
09 Oct 25. SecureCloud+ secures £5m investment from Gresham House Ventures as defence demand booms. SecureCloud+, a UK-based leader in secure defence collaboration services, has closed a £5mn investment from Gresham House Ventures, a growth equity investor focused on backing software and technology-enabled businesses. Founded in 2014, SecureCloud+ offers a suite of bespoke cyber-resilience tools for defence companies and government bodies. Its information collaboration systems allow clients to share and analyse high-level security information across multiple locations. The new funding will be used to accelerate further improvements to SecureCloud+’s flagship CWE platform, making greater use of automation to bring additional capabilities to users. The boost comes at a significant moment for the business, which is positioned to take advantage of increasing UK defence spending, with a particular focus from government on technology and cyber resilience. Alongside the investment from Gresham House Ventures, SecureCloud+ is making several changes to its senior leadership team as the business looks to the next stage of its growth journey. CEO Greg Clarke will take on the role of Executive Chair, bringing 45 years of experience to the role. Peter Williamson, SecureCloud+’s founder, will become a Non Executive Director, while Field Marshall Nick Houghton will remain with SecureCloud+ as a Senior Military Advisor. Since Gresham House Ventures’ initial investment in 2018, SecureCloud+ has grown significantly, tripling its headcount and building a strong base of highly skilled jobs at its headquarters in Stoke-on-Trent.
Greg Clarke, CEO and executive chair at SecureCloud+, said: “Gresham House has been a longstanding supporter of SecureCloud+, and I’m thrilled to be co-investing with them to drive the next phase of our growth. Protecting the UK’s most sensitive information is a responsibility we take with the utmost seriousness. As a UK-owned SME proudly based in Stoke-on-Trent, this new funding will enable us to expand our operations, create more jobs, and continue serving the nation’s critical interests.”
James Hendry, investment director at Gresham House Ventures, said: “SecureCloud+ has delivered impressive growth since our initial investment, growing its team and strengthening its offering of outstanding solutions for the defence sector. Now, with defence spending set to increase over the coming years, SecureCloud+ is ideally placed to build on its outstanding track record, so we are thrilled to be providing further support at this exciting time for the industry.”
SecureCloud+ is a UK-based leader in Secure Defence Collaboration services, dedicated to supporting the UK Defence and National Security communities. Since its founding in 2014, the company has addressed critical challenges in secure collaboration, data utilisation, and information protection across the Defence sector. As a UK sovereign-owned organisation, SecureCloud+ partners with world-class technology providers to deliver advanced, reliable platforms that enhance decision-making, strengthen security, and enable seamless collaboration between government, industry, and coalition partners. Recognised as one of the UK’s fastest-growing companies, SecureCloud+ holds certifications including ISO 27001 and Cyber Essentials Certified Plus, and is a trusted supplier on the HM Government G-Cloud framework. With 24/7 support and a commitment to innovation, SecureCloud+ plays a vital role in advancing Defence strategies and promoting global stability.
08 Oct 25. Czech defense group CSG aims to go from bullets to drones. WARSAW, Poland — Prague-based Czechoslovak Group (CSG) has announced it is entering the unmanned aerial systems market with the launch of a new company, AviaNera Technologies. CSG is a leading defense industry player in the Czech Republic and Slovakia where it operates a number of plants that produce weapons, ammunition and military equipment. The group is owned by Czech entrepreneur Michal Strnad, its chief executive who is the son of CSG’s founder, Jaroslav Strnad.
“Our goal is to become a significant player in the field of military UAS and advanced weapon systems,” Michal Strnad was quoted in a statement released by CSG, using the military acronym of unmanned aerial systems. “Just as we managed within a few years to build a strong position in the small-caliber ammunition sector, we now aim to achieve something similar in the segment of high-tech defense technologies.”
The new company will prioritize the development and production of propulsion units for unmanned solutions: jet, turbofan and shaft engines, according to the statement. CSG said AviaNera’s team is currently negotiating a number of “acquisitions of promising companies in Europe and is also establishing partnerships in Ukraine, which today is a key driver of military UAS technology development.” At the September 2025 DSEI defense industry show in London, CSG representatives told Defense News some of the countries in which the group is considering to strengthen its presence include Poland and the three Baltic States, which comprise Estonia, Latvia and Lithuania. CSG is also a major supplier of artillery ammunition to the Ukrainian Armed Forces. In addition to the group’s numerous subsidiaries in the Czech Republic and Slovakia, CSG runs offshoots in the United States, the United Kingdom, Italy, Spain, Serbia and India, among others. In the U.S., some of CSG’s subsidiaries include Remington, Federal, CCI, Hevi-Shot, Speer, and the Kinetic Group. (Source: Defense News)
07 Oct 25. Xcelerate Solutions (“Xcelerate”), a leading defense and national security company and portfolio company of McNally Capital, today announced it has acquired clearAvenue. Based in Columbia, Maryland, clearAvenue provides software development & maintenance, business intelligence and analysis, AI/ML, big data analytics and infrastructure, and cloud services support across federal agencies. The combined company will go to market as Xcelerate Solutions, offering a comprehensive, mission-first portfolio of secure solutions to the federal government.
“This acquisition marks a significant step forward in our technical capabilities,” said Mark Drever, CEO of Xcelerate. “We’ve always had a solid foundation in digital transformation, but clearAvenue lets us take it to the next level. clearAvenue is one of the few companies with demonstrated past performance qualifications in AI and machine learning.”
The combined company boasts a proven team of ~1,500 technology professionals capable of delivering a broad spectrum of digital solutions, cybersecurity, enterprise vetting, and critical infrastructure protection services focused on mission-first delivery. The depth and versatility of Xcelerate’s expanded capabilities and contracts present opportunities for diversification and growth across its defense, law enforcement, national security, civilian agencies, and throughout the federal government.
“From day one, our goal was to create technology solutions that make a real difference,” said Dr. Srinivas Kankanahalli, CTO and V.P. of Engineering, “Partnering with Xcelerate allows us to scale that mission in ways we never imagined. We’re energized by the alignment and look forward to this new chapter.”
Xcelerate plans to capitalize on the combined strengths of both companies, foster a mission-first culture, align leadership, and crystallize its go-to-market portfolio to best serve federal clients in the coming months.
“We’re thrilled to welcome clearAvenue to Xcelerate and the McNally Capital portfolio. clearAvenue’s strong reputation for technical excellence and exceptional delivery aligns perfectly with Xcelerate’s mission, creating a powerful platform to further scale,” said Michael Ember, Principal, McNally Capital. “We look forward to supporting Xcelerate in this new phase of strategic growth.”
This marks the third acquisition completed by Xcelerate Solutions since McNally Capital’s investment in the company, following the acquisitions of VMD (2024) and General Dynamics Information Technology’s Background Investigation Assets (2024).
About Xcelerate Solutions
Xcelerate Solutions is a leading defense and national security company, providing integrated solutions in enterprise vetting and analysis, critical infrastructure protection, cybersecurity, and digital solutions. Xcelerate enhances the security and resilience of America’s personnel as well as physical and cyber infrastructure. The company is a trusted partner to Federal Law Enforcement, the Department of War, and Intelligence Community agencies that are responsible for the security and safety of the United States. For more information, please visit www.xceleratesolutions.com.
About clearAvenue
clearAvenue has over 20 years of experience providing a wide range of solution development, business intelligence and analysis, AI/ML, big data analytics and infrastructure, and cloud services support to the Federal government.
For more information, please visit clearAvenue.com
About McNally Capital
McNally Capital is a private equity firm based in Chicago, Illinois. The Firm is currently investing out of its committed buyout fund, McNally Capital Fund III, LP. The Firm pursues thesis-driven buyout investments in the lower middle market across two primary industries: Aerospace & Defense and Industrial Technology & Services. McNally Capital targets founder-, family-, and management-led businesses and is dedicated to navigating transformation and growth for its portfolio companies. The Firm seeks to apply its hands-on experience, institutional capabilities, and proprietary value creation framework to its portfolio companies to benefit management teams in their next phase of growth and build value for McNally Capital’s investors. For more information, please visit www.mcnallycapital.com. (Source: PR Newswire)
09 Oct 25. SAIC to Acquire SilverEdge Government Solutions. Move bolsters SAIC’s leading role of bringing commercial-grade technologies and solutions to advance national security missions and operations. Science Applications International Corp. (NASDAQ: SAIC), a leading mission integrator supporting defense, space, intelligence and civilian agencies, announced today it has entered into a definitive agreement to acquire SilverEdge Government Solutions (“SilverEdge”) from private equity firm Godspeed Capital for $205m in cash. SilverEdge is an innovative provider of mission-driven technology solutions and products. The company’s seasoned team of cybersecurity experts, software developers, engineers, and intelligence analysts work to empower America’s defenders with the technology solutions needed to address our national security community’s toughest challenges. SilverEdge has long-standing relationships that serve the Intelligence and DoD Communities with capabilities across digital transformation, generative artificial intelligence, and data analytics. Its flagship Software-as-a-Service (SaaS) product suite, SOAR, is a highly disruptive model that provides fully customizable, low-risk software solutions tailored to customer specifications through commercial marketplaces. Additionally, SilverEdge recently unveiled MynAI – a secure and responsible agentic AI product specifically designed for operation in highly regulated and secured government environments. These transformative solutions provide agility and speed while minimizing risk to customers. This acquisition advances SAIC’s strategy of bringing mission focused, IP-based solutions and commercial products to our customers. By integrating SilverEdge’s SaaS products and expertise, SAIC will further enhance its ability to deliver real-time mission-based solutions with speed, efficiency, and agility. SilverEdge brings a team of highly cleared professionals to further strengthen SAIC’s ability to deliver on America’s most critical national security missions.
“SilverEdge’s people, culture, and innovative approach have driven impressive growth,” said Toni Townes-Whitley, Chief Executive Officer of SAIC. “SOAR delivers agile, low-risk and rapid prototyping products that align with our enterprise growth strategy to provide integrated digital solutions to our customers that tackle national priorities. They share our commitment to advancing National Security missions with speed, and together, we will deliver an expanded suite of products and commercial technologies to help the Department of War and Intelligence Community achieve their most critical objectives.”
“We are excited to join the SAIC team,” said Robert J. Miller III, Chief Executive Officer of SilverEdge. “From day one, our vision was to deliver next-generation cyber, software, and intelligence solutions that disrupt the status quo. That mission aligns perfectly with SAIC’s focus on innovation and national security. By joining forces, we will continue to push boundaries, expand our capabilities, and deliver even greater value for our customers. I am incredibly proud of the SilverEdge team and energized for what the future holds.”
The acquisition of SilverEdge continues to strengthen SAIC’s position as a premier Mission Integrator and reflects SAIC’s commitment to pursuing strategic investments in accretive and complementary tuck-ins. The transaction is subject to customary closing conditions and is expected to close in the third quarter of fiscal year 2026. SAIC was supported by KPMG and Arnold & Porter Kaye Scholer LLP. SilverEdge was advised by KippsDeSanto & Co. and Latham & Watkins LLP. (Source: ASD Network)
05 Oct 25. Firefly strengthens portfolio with $855m deal for national security tech firm SciTec. Space tech firm Firefly Aerospace (FLY.O) will acquire national security technology company SciTec for about $855m, the company said on Sunday, just months after its Nasdaq listing, honing its portfolio at a time when U.S. military and civil programs are receiving increased investor interest. The deal, which will be funded through a combination of $300 m in cash and $555m in Firefly shares, is set to close by the end of the year, Firefly said. In August, Texas-based firm Firefly secured a valuation of $9.84bn after its shares surged 55.6% in their Nasdaq debut, marking the largest U.S. listing this year by a space tech firm. Firefly’s acquisition of Princeton, New Jersey-headquartered SciTec will enhance its space services by integrating SciTec’s defense software analytics into its systems, the company said. SciTec’s core capabilities, which encompass missile warning, tracking and defense, intelligence. (Source: Reuters)