Defense startup Castelion has reached a $13 billion valuation after closing a $1 billion Series C round, signaling strong investor confidence in next-generation aerospace manufacturing. The round was co-led by Andreessen Horowitz, Carlyle, and JPMorgan Chase.
Founded in 2022 by former SpaceX executives, the California-based company is building hypersonic systems with a focus on lower costs and faster production cycles than traditional defense manufacturers. Since launch, Castelion has already secured more than $500 million in U.S. military contracts.
The new capital arrives as demand grows for hypersonic capabilities, defined by speeds above Mach 5. Castelion aims to help expand production capacity and accelerate delivery through its manufacturing approach.
The company plans to channel the funding into its Blackbeard missile program and other hypersonic platforms at its New Mexico facility. The round included $800 million in equity and a $250 million revolving credit facility, with support from existing investors such as Lightspeed, General Catalyst, and Altimeter.
As advanced aerospace production scales, innovations like this could reshape how high-speed defense technologies are designed and manufactured in the years ahead.
