Castelion Secures $1 Billion in Series C Funding, Valuing Company at $13 Billion

Castelion, a missile startup founded by former SpaceX executives, has successfully raised $1 billion in a Series C funding round, achieving a valuation of $13 billion. The investment round was co-led by Andreessen Horowitz, Carlyle, and JP Morgan Chase.

Established in 2022, Castelion aims to manufacture hypersonic weapon systems that offer lower costs and faster production speeds compared to traditional defense primes. The company has already secured over $500 million in contracts with the U.S. military.

The recent funding comes at a crucial time as the Pentagon seeks to increase its stockpile of hypersonic missiles, which can travel at speeds exceeding Mach 5. The U.S. stockpile has not kept pace with advancements made by China in this area. Castelion’s accelerated manufacturing process is positioned as a solution to help close this gap.

Based in Torrance, California, Castelion plans to utilize the new capital to produce its Blackbeard missiles, named after the renowned English pirate, along with other hypersonic weapon systems at its production facility in New Mexico.

This funding round also included participation from existing investors such as Lightspeed, General Catalyst, and Altimeter, comprising $800 million in equity and a $250 million revolving credit facility.