Sponsored by SPX Communication Technologies (TCI & ECS)
www.tcibr.com
www.enterprisecontrol.co.uk
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26 Nov 24. Atomic-6 was recently awarded a Tactical Funding Increase (TACFI) to further develop its revolutionary Space Armor™ shielding tiles and complete testing qualification for first flight. Designed to minimize shielding mass, stowage space, post-impact ejecta, and mission risk, Space Armor™ provides vital protection for space assets against space debris and kinetic energy weapons while offering optional radio frequency permeable capabilities. This innovative technology is essential for maintaining the United States’ competitive edge in space operations, a concern that has been increasingly emphasized by Pentagon officials and lawmakers.
In NASA’s recent study on the economic advantages of safeguarding satellites from orbital debris, the findings suggest potential net benefits exceeding $50 bn over the next 30 years.
To meet this demand, Space Armor™ offers two levels of protection: Lite and Max. “Space Armor™ Lite” is designed to withstand impacts from debris up to 3mm, which accounts for over 90% of debris in low earth orbit, while “Space Armor™ Max” is designed to withstand impacts from debris up to 12.5mm. This productized approach allows for tailored protection strategies, ensuring both cost-effectiveness and critical defense against varying sizes of debris.
The TACFI award, along with matching funds from outside investors, paves the way for Atomic-6 to take Space Armor™ from prototype to full product line with added variations and capabilities to meet market and customer demand.
Atomic-6 is committed to the safety, sustainability, performance and affordability of future space endeavors. Space Armor™ is the latest of several Atomic-6 innovations to reinforce their mission and provide the US military, Allies, and commercial space operators with the strategic edge necessary to reduce mission risk and protect space assets.
Contact Us for RFPs
To learn more about Space Armor™, other Atomic-6 innovations, and/or submit a Request for Proposal (RFP), please contact our team at .
About Atomic-6
Atomic-6 is revolutionizing mobility in space, air, land, and sea by rapidly designing and manufacturing the world’s finest composite solutions. Everything we touch gets lighter, stronger, and smarter. Visit our website atomic-6.com or contact us directly to learn more.
(Source: PR Newswire)
26 Nov 24. Lafayette Square announced today that it has provided debt capital to support the NewSpring Holdings, LLC (“NewSpring”) acquisition of C Speed, LLC (“C Speed”), a leading provider of advanced radar systems and engineering solutions for civilian and military use globally. Founded in 1996 and headquartered in Liverpool, New York, C Speed manufactures radars, provides surveillance products as well as surveillance-as-a-service offerings through its software defined radio IP, and supports the modernization of legacy ground-based radars. With this acquisition, NewSpring intends to provide C Speed with strategic guidance, greater resources and human capital to meet the advanced needs of the U.S. Government.
“With increasing demand for innovative, cost-effective security and surveillance solutions, C Speed’s expertise in radar systems and technology integration presents a unique investment opportunity,” said Tom Mullin, Director, Lafayette Square. “C Speed understands the value of partnering with government, given its long-standing relationships in the federal services sector. We look forward to partnering with NewSpring to help drive the company’s future growth.”
“We are excited to embark on this next chapter with support from NewSpring and Lafayette Square,” said David Lysack, President & CEO of C Speed. “By partnering with NewSpring and Lafayette Square, we can continue to advance our technology and expand into markets that truly need our solutions.”
“C Speed’s proven expertise in radar systems and solutions is aligned with our strategic growth within the government services sector,” said Lee Garber, General Partner, NewSpring. “With funding from Lafayette Square and a shared commitment to supporting and empowering C Speed’s talented workforce, we are well-positioned to enhance our technological offerings, drive innovation, and broaden our impact across key sectors.”
In addition to financing, Lafayette Square offers its portfolio companies access to Worker Solutions™, a custom-built platform that seeks to measurably improve employee retention, well-being, and productivity by connecting management teams to a curated list of third-party service providers that offer nontraditional benefits for their employees. By delivering these solutions, Lafayette Square aims to reduce operational risk for its portfolio companies, help them attract and retain talent, and improve job quality.
About C Speed, LLC
C Speed is a leading provider of advanced radar systems and engineering solutions for both civilian and military applications. The company specializes in the design, prototyping, and manufacturing of state-of-the-art radar systems, with a particular focus on radar receivers, exciters, and signal processors. C Speed has built a strong reputation through its collaborations with major defense contractors and government agencies, including the U.S. Air Force, U.S. Army, U.S. Navy, Department of Homeland Security (DHS) and NATO. Their product portfolio includes the “LightWave Software Defined Radar Platform,” designed as a cost-effective, software-based, alternative for legacy radar modernization while also providing new surveillance radars to their customers. With over 30 years of experience in the radar industry, C Speed continues to innovate, providing essential support to national and international defense initiatives.
About NewSpring
NewSpring is a lower-middle market focused private equity firm that partners with the innovators, makers, and operators of high-performing companies in dynamic industries to catalyze new growth and seize compelling opportunities. The Firm manages approximately $3.5 bn across five distinct strategies covering the spectrum from growth equity and control buyouts to mezzanine debt. Having completed over 250 investments, NewSpring brings a wealth of knowledge, experience, and resources to take growing companies to the next level and beyond. Partnering with management teams to help develop their businesses into market leaders, NewSpring identifies opportunities and builds relationships using its network of industry leaders and influencers across a wide array of operational areas and industries. To learn more, visit www.newspringcapital.com (Source: PR Newswire)
26 Nov 24. Houlihan Lokey announced that VideoRay has been acquired by BlueHalo, a portfolio company of Arlington Capital Partners (Arlington). The transaction closed in November 2024.
Founded in 1999, VideoRay is a leading provider of subsea robotics technologies and solutions for defense and commercial end-market applications. The company leverages decades of technology leadership and proprietary IP to deliver best-in-class robotics solutions that operate in the most demanding subsea conditions. With more than 4,000 remotely operated vehicles (ROV) fielded worldwide, VideoRay has set the standard for reliability and performance. The company’s flagship ROV, Mission Specialist Defender, is the preeminent expeditionary underwater platform for explosive ordnance disposal and mine countermeasures operations, underscoring its unmatched capabilities in demanding military marine environments. As a result, VideoRay is the sole source provider of ROVs to the U.S. Navy for its Maritime Expeditionary Standoff Response Program of Record.
BlueHalo is purpose-built to provide industry-leading capabilities in the areas of Space, C-UAS and Autonomous Systems, Electronic Warfare and Cyber, and AI/ML. The company develops and brings to market next-generation capabilities to support customers’ critical missions and national security.
Arlington Capital Partners is a Washington, D.C.-area private investment firm specializing in government-regulated industries. The firm partners with founders and management teams to build strategically important businesses in the government services and technology, aerospace and defense, and healthcare sectors. Since its inception in 1999, Arlington has invested in over 175 companies and is currently investing out of its $3.8 bn Fund VI.
Houlihan Lokey served as the exclusive financial advisor to VideoRay and assisted in structuring and negotiating the transaction on its behalf. This transaction underscores the firm’s continued global leadership and deep expertise in the defense technology sector. Since 2020, Houlihan Lokey’s Aerospace & Defense practice has closed more than 70 transactions worth over $13 bn in enterprise value. With a staff of approximately 20 financial professionals, Houlihan Lokey’s Aerospace & Defense practice is among the largest dedicated industry banking teams worldwide.
If you would like more information about Houlihan Lokey or have questions regarding the firm’s role in this transaction, please contact one of the team members listed below.
26 Nov 24. Volex turns up the heat on TT Electronics takeover. The current premium is too low for a potential bid to succeed, TT board has warned. Volex (VLX) chair Lord Rothschild has turned the heat up on TT Electronics (TTG) to get its board to engage with his takeover approach.
Volex has thus far submitted two potential cash-and-share offers to TT’s board, both of which were dismissed as “fundamentally undervaluing TT Electronics and its long-term prospects”. TT’s board also said they had previously rebuffed a higher all-cash offer.
Undeterred, Rothschild took his plea directly to TT’s shareholders, citing “compelling strategic and financial merits” to a merger. He continued his broadside against TT’s current and former management, stating that since 2018 they had presided over “a share price erosion of over 65 per cent prior to Volex’s interest being made public”.
TT Electronics has underperformed in recent years. The FactSet consensus forecast for the current year is for sales to fall by 12 per cent and operating profit to plummet by 40 per cent. The group’s adjusted operating margin has also remained stubbornly below management’s 10 per cent target and Volex’s presentation pointed to more than £125mn of one-off charges over the past four years, including £56mn of asset writedowns, £44mn of restructuring costs and £26mn of M&A costs. Rothschild described TT’s recent record of acquisitions as having “very disappointing outcomes”.
Volex compared this with its track record, where its adjusted operating margin has grown from 2.1 per cent when Rothschild took over as executive chairman in 2015 to 9.8 per cent last year. It also pointed to a track record of successfully integrating deals.
Its pitch to TT’s shareholders is that they would enjoy greater upside from a combined operation. Although there is some overlap between the companies – both offer contract manufacturing of electrical components used in medical and industrial technologies – they produce largely different products, serving different sectors.
A combination would therefore allow the merged business to “remove duplicate facilities and plc functions”, with the greater scale of the business also potentially offering procurement savings. From a revenue point of view, it would allow the businesses to cross-sell to each other’s customer bases and bring scale to TT’s aerospace and defence business.
Show me the money
There will undoubtedly be TT shareholders who are sympathetic to Rothschild’s criticism of management’s recent performance, but it seems he may have more difficulty in convincing them that his current offer is a fair one. The latest offer of 62.9p in cash and 0.223 Volex shares per TT share was worth 135.5p, or a 77 per cent premium based on the previous day’s closing price. Although this sounds impressive, TT’s share price had fallen by 32 per cent in a single day in September on the back of a profit warning. The shares had been trading as high as 170p as recently as August.
Moreover, the decline in Volex’s share price (and the subsequent jump in TT’s share price) has narrowed that premium to just 18 per cent, based on Friday’s closing prices.
Although Berenberg analysts lack faith in TT’s management’s ability to deliver their double-digit adjusted operating margin within the next 18 months, they said that a 135.5p offer valued TT at an enterprise value of just 6.5-times forecast cash profit for 2025, falling to 4.7-times for 2026. This compares with a five-year average of 10.9 times, according to FactSet.
Others also place faith in TT’s recovery, with Mark Fielding of RBC Capital Markets describing the group’s current woes as more cyclical than structural. Although it has operational issues, it has been battling with a weakness in end markets that has affected the broader industrial sector, he argued.
“We expect a cyclical uplift as we move through 2025 and there are plans in place to resolve the operational issues,” he said.
Yet the one-day capitulation in TT’s share price in September was a sign that the market “seemed to give up on TT”, dashing hopes that its fortunes were turning around under its new chief executive Peter France, said Stifel analyst Mark Davies Jones.
“We still think TTG is vulnerable,” he added. Although he has a fair value estimate of 190p on the shares, he thinks a “reasonable compromise” could be reached if the two sides can agree a deal at a price closer to 160p-170p. (Source: Investors Chronicle)
26 Nov 24. Comtech Telecommunications Corp. (NASDAQ: CMTL) (“Comtech” or the “Company”), a global technology leader, today released its Fiscal Year 2024 (“FY24”) Corporate Social Responsibility (“CSR”) Report. The report highlights the Company’s progress in environmental impact, workforce development, community investment, and more.
“With FY24 serving as a transformational year for us, I am pleased to share our FY24 CSR Report as it presents a great opportunity to outline what Comtech stands for, and how our investments in our team and responsible business practices drive momentum,” said John Ratigan, President and CEO of Comtech. “We recognize the value in driving CSR within our organization, throughout our supplier network, and in our communities.”
The report details progress and new initiatives in critical areas for FY24, including:
- Health and Safety: In FY24, Comtech developed a comprehensive Environmental, Health, and Safety Management System to better engage with employees at all levels of the organization to further prevent work-related injuries and illnesses, environmental impacts, and foster a culture of continuous improvement.
- Professional Growth: In FY24, the Company launched Comtech University, to foster the professional development and continuous learning paths for our employees. This system serves two purposes: managers can identify growth opportunities for their talent and employees have the ability to self-select training to promote their own professional learning development.
- Environmental Impact: As part of Comtech’s sustainability strategy, the Company prioritized completing its first company-wide greenhouse gas emissions inventory. In FY24, Comtech partnered with a solutions provider for carbon accounting software and services, allowing the Company to more thoroughly quantify, monitor, and manage its operational carbon footprint.
Additionally, Comtech completed its first climate change report to CDP, which includes a baseline greenhouse gas inventory for company-wide Scope 1 and 2 emissions. This inventory enables data-based decision-making to develop targeted carbon reduction projects and establish emissions reduction goals.
- Community Investment: With the move of Comtech’s global headquarters to Chandler, Arizona, the Company sponsored and participated in the annual Chandler Innovation Fair, which offers unique opportunities for attendees to explore the discoveries and importance of science by showcasing local engineering projects as well as concepts that are taught in Chandler Unified schools.
Beyond community initiatives in Arizona, Comtech created new opportunities for employees to support a number of local nonprofits and implement new employee-driven volunteer initiatives.
25 Nov 24. Mobix Labs, Inc. (Nasdaq: MOBX), a global innovator in advanced connectivity solutions, today announced it has agreed to acquire Spacecraft Components Corp., a Nevada-based leader in high-precision, mission-critical components for aerospace, defense, and commercial applications. The acquisition, which is expected to close in the first quarter of 2025, represents a significant strategic milestone for Mobix Labs as it expands its presence into new markets and strengthens its leadership in key industries.
“by combining our manufacturing expertise with Mobix Labs’ advanced technologies, we are poised to deliver even greater value to our customers across the aerospace, defense, and transportation sectors.”
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Spacecraft Components is recognized for its cutting-edge engineering and manufacturing capabilities. Spacecraft delivers electrical connector components and accessories that are vital to mission critical missile technology, submarines, naval ships, oil rigs, railcars, military and commercial jet aircraft, and many other applications. Notably, its components are utilized in the Patriot Missile—the U.S. Army’s primary missile defense system—and tactical manned and autonomous vehicles. Additionally, Spacecraft supplies key components for railcar systems in major metropolitan areas such as Chicago and New York.
Strategic Fit and Market Expansion
As a long-standing supplier to Mobix Labs, Spacecraft Components Corp. has provided high-quality components for Mobix Labs’ products. This acquisition is a natural fit, allowing Mobix Labs to integrate Spacecraft’s expertise and expand into the aerospace, military, and defense sectors; while also entering the transportation market as a new revenue stream.
“This acquisition is transformative for Mobix Labs, aligning with our strategy to diversify our markets and strengthen our position in mission-critical industries,” said Fabian Battaglia, CEO of Mobix Labs. “Spacecraft’s exceptional reputation and product offerings, combined with Mobix Labs’ innovation and expertise, will drive significant growth opportunities for both companies. We are thrilled to welcome their talented team to Mobix Labs as we shape a stronger future together.”
Operational and Financial Impact
The acquisition is expected to increase Mobix Labs’ workforce by approximately 150 employees, primarily based in Nevada. Spacecraft Components reported unaudited revenues of $18.1 m in 2023, with forecasted growth for the next two years. Spacecraft’s compiled unaudited non-GAAP financials represent it has positive earnings and cash flow. The acquisition is expected to be accretive to Mobix Labs’ earnings. If the transaction closes as anticipated, it will materially increase Mobix Labs’ revenue in fiscal year 2025.
“This partnership provides an exciting opportunity for Spacecraft to grow alongside Mobix Labs,” said Craig Wiseman, President of Spacecraft Components. Wiseman also stated that “by combining our manufacturing expertise with Mobix Labs’ advanced technologies, we are poised to deliver even greater value to our customers across the aerospace, defense, and transportation sectors.”
Transaction Details and Closing Conditions
The terms of the transaction include a purchase price ranging from $18 m to $24 m, with consideration to be paid in a combination of cash and equity, subject to earnout provisions, all of which will be finalized subject to completion of due diligence. The deal remains subject to final due diligence and the approval of the boards of directors of both companies.
About Mobix Labs, Inc.
Based in Irvine, California, Mobix Labs designs, develops and sells components and systems for advanced wireless and wired connectivity, radio frequency (“RF”), switching and filtering technologies. The Company’s solutions are used in aerospace, defense, 5G, medical, industrial and other high-reliability markets. The Company’s True Xero active optical cables are designed to meet customer needs for high-quality active optical cable solutions at an affordable price. The Company’s electromagnetic filtering products are used in military and aerospace applications. These technologies are designed for large and rapidly growing markets where there are increasing demands for higher-performance communication and filtering systems that utilize an expanding mix of both wireless and connectivity technologies. More information on the company can be found by visiting http://www.mobixlabs.com or by following us on X @MobixLabsInc and LinkedIn.
About Spacecraft Components Corp.
Spacecraft Components Corp., founded in 1962, is a leader in manufacturing and distributing specialized connectors. The company serves various industries, including transportation, military, aerospace, and industrial sectors. The company produces a wide range of connectors and related accessories, designed to meet strict industry standards, including MIL-SPEC qualifications. Spacecraft Components Corp. is known for its ability to provide custom solutions to meet unique customer needs. With its facility in Nevada and a team of skilled professionals, Spacecraft Components Corp. remains a trusted name in the connector industry, delivering quality products and excellent service to its clients. (Source: BUSINESS WIRE)
25 Nov 24. BlueHalo Acquires VideoRay, Adds Unmanned Maritime to All-Domain Defense Technologies. BlueHalo, the company transforming the future of global defense by bringing to market next-generation all-domain capabilities to support customers’ critical missions and national security, today announced that it has acquired VideoRay, a global leader in underwater robotic systems. Founded in 1999, the Pottstown, Pennsylvania-based company is a technological leader in small form-factor Remotely Operated Vehicles (ROV) for use in mission-critical spaces, including explosive ordinance disposal, mine counter measures, mobile diving, salvage and commercial applications.
“VideoRay gives BlueHalo an immediate leading presence in the autonomous maritime systems market. This is a strategic expansion for us as we strive to become an all-domain provider of innovative defense technologies,” Jonathan Moneymaker, chief executive officer of BlueHalo. “We are incredibly excited to bring VideoRay into BlueHalo and provide an expanded set of solution offerings to our customers as we seek to continue innovating at mission speed.”
VideoRay’s Mission Specialist Defender and other unmanned underwater robots set the performance standard for the most challenging, mission-critical applications in mine countermeasures and other man-portable unmanned undersea applications. With the backing of BlueHalo, the development of these vehicles and supporting technology will continue and accelerate.
“VideoRay’s underwater robots are already deployed across various key domestic and international defense end-users,” said Moneymaker. “VideoRay’s proprietary hardware and software, coupled with our existing technology, will allow our enterprise to deliver a superior suite of products to support the warfighter in the ever-evolving next generation battlefield.” (Source: ASD Network)
25 Nov 24. Saab Grintek Defence poised for continued growth. Jan Widerström, Managing Director at Saab Grintek Defence, says that there is a growing global demand for advanced defence technologies amid increasing geopolitical tensions and security challenges. Countries across the world are bolstering their defence budgets to address these evolving threats, with Saab Grintek playing a significant role in this international landscape. The company operates from its main facility in Centurion’s Technopark, with additional locations in Capricorn Park and at the Naval Base in Simon’s Town, where it supports the South African Navy’s submarines and frigates. Saab Grintek employs over 420 people, a number that has been steadily growing.
“We are on a growth path, and we see continuous growth due to the strong global need for our electronic warfare self-protection systems,” Widerström said.
Widerström shared that the company has seen remarkable growth, particularly in the export of its electronic warfare and self-protection systems, with more than 90% of its products going to international markets.
“We are truly global in that aspect,” Widerström said, noting that Saab Grintek’s systems are integrated into vehicles, helicopters and aircraft by major original equipment manufacturers (OEMs) like Airbus and Rheinmetall. However, the company remains deeply rooted in South Africa.
“We see ourselves as a South African company,” Widerström explained. “We do development, research and production out of our facilities here.”
The company’s contribution to South Africa’s defence capabilities extends across air, land and sea domains, providing advanced systems to support platforms such as the South African Navy’s submarines and frigates, as well as the Air Force’s helicopters and transport aircraft. Saab Grintek is also working on the development of the Land Electronic Defence System (LEDS) Mk 4 system, a laser warning system that boasts world-leading accuracy. Trials are currently underway, with Widerström optimistic about securing firm orders by early next year. Despite its global focus, Saab Grintek Defence remains committed to the South African market, actively engaging with the local defence force to explore opportunities for upgrades and modernisation. Widerström noted a growing interest from the South African armed forces in maintaining and upgrading platforms, especially in light of obsolescence management challenges.
“We see an increased interest from the armed forces to improve maintenance and also on the upgrade side,” he said, acknowledging the need for cost-effective solutions that enhance capabilities without overwhelming budgets.
As the defence industry continues to expand, Saab Grintek Defence is positioning itself as a leader both locally and globally. “We’re on a growth path,” Widerström concluded, emphasising the importance of close collaboration between industry and government to meet the rising demand for cutting-edge defence technologies. (Source: https://www.defenceweb.co.za/)
22 Nov 24. Bridge Defense, a defense-technology company, has made a strategic investment in Federated IT, a trusted provider of mission-critical services to the U.S. government. Founded in 2002, Federated IT has built a reputation as a trusted partner to the U.S. Intelligence Community and the Department of Defense. With expertise optimizing cloud computing, data center operations and migration, enterprise architecture, scientific research and analyses, and cybersecurity solutions, Federated IT consistently delivers technically excellent, secure, and reliable solutions that empower national security clients to achieve their objectives.
“This investment represents a pivotal step in Bridge Defense’s mission to create the next-generation systems integrator,” said Jack Kilcoyne, co-founder of Bridge Defense. “We will combine the critical services Federated IT provides with in-house software development capabilities to build a hybrid organization capable of delivering exceptional services and developing innovative solutions that address our customers’ most pressing challenges.”
Kyle von Bucholz, CEO of Federated IT, added: “For over 20 years, Federated IT has focused on solving our clients’ most complex challenges with integrity and technical excellence. Partnering with Bridge Defense will enable us to take that commitment to the next level by leveraging cutting-edge development capabilities and delivering an even greater impact for the federal agencies we serve.”
About Bridge Defense
Bridge Defense is focused on delivering mission-critical services and innovative software solutions to national security customers. A hybrid systems integrator, Bridge Defense combines excellence in technical services with native development capabilities to deliver comprehensive and transformative solutions to address the rapidly evolving needs of national security customers. Bridge Defense is led by a team of Special Operations veterans with deep expertise in technology and government services. The company is headquartered in the Northeast, with a growing presence in Washington, D.C. For more information, visit Bridge-Defense.com.
About Federated IT
Federated IT is a leading provider of mission-critical IT and cybersecurity services to the U.S. government. Federated IT enables defense, national security, and federal law enforcement clients to expand, improve, and strengthen critical IT infrastructure and mission system capabilities within the Tier Ill – IV Enterprise IT Operations and Cyber Security domains. Federated IT’s project portfolio includes the customization and delivery of optimized cloud computing, data center operations and migration, enterprise architecture, scientific research and analyses, and cybersecurity solutions. Federated IT is headquartered in Washington, D.C. For more information, visit FederatedIT.com. (Source: PR Newswire)
24 Nov 24. Thales denies wrongdoing as Anglo-French bribery probe hits shares.
- Summary
- Companies
- Britain’s SFO and France’s PNF have launched bribery probe
- Thales says it denies allegations that it is aware of
- Thales confirms probe focuses on contract in Asia
- Sources say probe involves business deal in Indonesia
- Shares in the French defence firm fall as much as 7%
French defence and technology firm Thales said on Friday it was denying allegations brought to its attention after Britain’s Serious Fraud Office announced a joint investigation with French authorities into suspected bribery and corruption.
Thales, Europe’s largest defence technology firm, said the probe by the SFO and France’s PNF financial prosecutor concerned a contract in Asia and focused on four entities in France and the UK, without giving further details.
“Thales denies the allegations brought to its knowledge,” the company said in a statement.
It did not give any further details of the allegations or say when it first learned of them, or how. It also did not say whether it was conducting its own internal probe. The company said in a recent corporate report that it has “zero tolerance” of corruption.
Shares in partially state-owned Thales fell as much as 7% but recovered most of the losses to end the day down 2.9%. (Source: Reuters)
22 Nov 24. Cuashub.com said today that TEKEVER Raises $74m (70m Euros) Funding round led by Baillie Gifford and backed by the NATO Innovation Fund. New strategic investors will support sustainable growth plan and facilitate geographic expansion into priority markets Investment will fund continued product innovation and scaling of production capacity.
TEKEVER, the European market leader in AI-centric Unmanned Aerial Systems (UAS), announces that it has raised 70 M Euros in a funding round led by Baillie Gifford, the investment manager and early backer of Airbnb, Spotify and SpaceX, and the NATO Innovation Fund (NIF), a standalone venture capital fund, backed by 24 NATO allies, that deploys €1 bn in deep tech to advance defence, security and resilience.
Other participants in the funding round include the National Security Strategic Investment Fund (NSSIF), a UK government–owned fund supporting advanced technologies related to national security, Crescent Cove Advisors LP, an investment firm based in Silicon Valley with expertise in the defence sector, and existing investors Iberis Semper and Cedrus Capital. TEKEVER was advised by The Growth Stage and Houlihan Lokey during the process.
The new investors bring strategic expertise that will fuel the next phase of TEKEVER’s growth. They provide significant sector experience and pathways to access priority markets, as well as boasting a strong track record of sustainably scaling pioneering, fast-growing companies over the long-term. Their experience will be critical in helping TEKEVER prepare for the next phases of its multinational growth strategy.
As part of its growth plan, TEKEVER, which is already profitable, will accelerate investment in R&D to support product innovation, both enhancing current UAS and developing new product lines to ensure its technology stays ahead of curve in the rapidly evolving technical landscape and its products continue to exceed customer expectations. TEKEVER will also expand its global production, delivery and support footprint to meet the ever-increasing demand for its products and services.
Ricardo Mendes, CEO of TEKEVER, commented: “We’re living in a highly volatile world, experiencing exponential change and the transformative power of software, AI and robotics. TEKEVER was built to embrace and leverage this reality, providing its customers with future-proofed, AI-centric hardware- enabled systems that are produced at scale and effectively delivered and sustained globally. For our Series B, more than investment, we wanted to find partners that shared these beliefs and could help us execute on our vision. We’re thrilled to have Baillie Gifford as a lead investor – an incredible organization with extremely long–term views, and an extensive track record of backing companies that have profoundly transformed our society. NIF, NSSIF and Crescent Cove bring profound knowledge and experience on the Global Security and Defence market to the table, both from a European and a US perspective, which will be important in helping us, and our customers, navigate the challenges ahead.”
Chris Evdaimon, Investment Manager, Private Companies at Baillie Gifford, commented:
“TEKEVER is a rapidly growing and already profitable company, a rare combination in defence, national security and space start-ups. We were attracted by its approach to building drones – with a software-centric and vertically integrated model – along with the real-life experience TEKEVER has accumulated from operations in Ukraine and its work with the UK Home Office and European Maritime Safety Agency.”
Patrick Schneider-Sikorsky, Partner at the NATO Investment Fund, commented:
“Unmanned Aerial System technologies are critical to advancing defence, security and resilience. We are thrilled to support TEKEVER – whose technology is revolutionising the defence and commercial intelligence, surveillance, and reconnaissance sectors – and look forward to collaborating with the company on identifying pathways to use its technology in order to support more governments and businesses across the Alliance”
TEKEVER provides drone-based Intelligence-as-a-Service, surveying ultra-wide areas and sharing real- time data that allows customers to act in a timely and efficient manner to avoid threats to human life, the environment and economy. Its technology is dual-use, deployed by civilian and military organisations as well as private companies, with applications ranging from detecting environmental threats such as oil spills, wildfires or flash flooding to gathering intelligence and conducting search and rescue missions for defence and security purposes.
Unlike traditional aerospace companies, TEKEVER is vertically integrated and has full control of every aspect of its subsystems and value chain, from airframe design and manufacturing to payloads, avionics, software, data and AI, which enables the company to rapidly adapt its products based on evolving customer needs and shifts in the global economic and political landscape.
Customers include the European Maritime Safety Agency and the UK Home Office, as well as multiple defence and security forces and corporations throughout Europe, North America and Southeast Asia. TEKEVER systems have been deployed to Ukraine to enable some of the most complex and demanding long range intelligence, surveillance and reconnaissance missions, performed under the most extreme operational and technical conditions. (Source: UAS VISION)
25 Nov 24. Sagewind Capital LLC (“Sagewind”), a government technology-focused U.S. private equity firm with offices in New York City and the Washington, DC area, announced today a majority investment in Aechelon Technology, Inc. (“Aechelon” or the “Company”). Aechelon is a premier provider of image generation software and complex databases enabling live-virtual-constructive training, mission rehearsal, sensor exploitation and command and control for full-flight aircraft simulators that train pilots across the U.S. Department of Defense (“DoD”).
Founded in 1998 and based in San Francisco, Aechelon is a trusted partner for government agencies, defense prime contractors, and DoD agencies. The Company aims to set a new standard in immersive visualization, enhancing training and safety outcomes through exceptional image quality and industry-leading system performance. Aechelon leverages cutting-edge hardware, software technologies, machine learning and computer vision to build advanced visual solutions.
Raj Kanodia, Managing Director of Sagewind Capital, said, “In today’s environment, the importance of training and readiness is at an all-time high. As the demand for immersive simulation products grows, Aechelon is uniquely positioned to lead the way with its visualization capabilities. We are proud to partner with Nacho and his team to support mission-critical military training.”
Ignacio (Nacho) Sanz-Pastor, CEO of Aechelon, said, “We are thrilled to join forces with the Sagewind team, one of the leading investors in the defense industry. Their expertise will enable us to scale our operations and achieve transformative growth. This is an exciting new chapter for our company, employees, and customers.”
Aechelon is Sagewind’s eighth platform investment in the government technology sector.
About Aechelon Technology
Aechelon Technology, Inc. is focused on image and data generation products for visual simulation and visualization, and is a leading provider of real-time computer graphics solutions for training, simulation and visualization for defense and commercial applications. The Company specializes in COTS-based, high-resolution, multi-channel, geo-specific image generators, out-the-window (OTW) displays, and correlated worldwide sensor databases, along with comprehensive integration services. Aechelon Technology is headquartered in South San Francisco, CA. Please visit www.aechelon.com for more information.
About Sagewind Capital
Sagewind Capital LLC, a U.S. company, is a government technology focused private equity firm with offices in both New York City and the Washington, DC area. Sagewind seeks to partner with exceptional management teams and focuses on significant capital appreciation by helping businesses grow organically and through strategic acquisitions. The firm is focused on long-term capital appreciation and has the flexibility to own businesses for extended periods. For more information please visit www.sagewindcapital.com. (Source: BUSINESS WIRE)
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SPX CommTech, part of SPX Technologies Inc, innovates specialised technologies within the Radio Frequency (RF) spectrum to ensure a smarter, more secure future for all. Formed by TCI and ECS, SPX CommTech’s Battlespace portfolio enables defence and security teams to detect, defeat and exploit RF signals to enhance communications intelligence (COMINT) and counter unmanned aerial systems (Counter-UAS). Additionally, its Tactical Data Link portfolio allows intelligence gathering agencies, special forces, emergency response, and security teams to securely and reliably transfer video and data between enabled-aircraft and ground teams over long distances for airborne Intelligence, Surveillance, Reconnaissance (ISR).
For more information visit www.tcibr.com and www.enterprisecontrol.co.uk
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