Castelion Raises $1 Billion to Build Hypersonic Missiles by the Thousand
Castelion's $1 billion Series C at a $13 billion valuation puts private money behind a Pentagon production plan that still depends on successful tests, a procurement contract and Congress.
The $13 billion valuation puts private money behind a Pentagon production plan that still depends on successful tests, a procurement contract and Congress.
Castelion announced a $1 billion Series C on Aug. 19 to expand production of its Blackbeard hypersonic strike missile. The financing combines $800 million in equity with a $250 million committed revolving credit facility and values the company at $13 billion.
JPMorganChase's Strategic Investment Group, Andreessen Horowitz and funds managed by Carlyle co-led the equity round, the company said. T. Rowe Price Associates joined as a new investor. Castelion raised $350 million in its Series B in December 2025.
Frequently Asked Questions
How much did Castelion raise and at what valuation?
Castelion said on Aug. 19 that its Series C totals $1 billion: $800 million in equity plus a $250 million committed revolving credit facility, valuing the company at $13 billion.
Who led the round?
Per Castelion, the equity was co-led by JPMorganChase's Strategic Investment Group, Andreessen Horowitz and funds managed by Carlyle, with T. Rowe Price Associates joining as a new investor.
What will the money pay for?
Castelion said it will spend hundreds of millions more on its 1,000-acre Project Ranger campus in Sandoval County, New Mexico, fund a longer-range strike weapon built from Blackbeard components, and develop lower-cost air and missile defense systems.
Does the Pentagon have a production contract with Castelion?
Not yet. The Department's May 13 framework agreement commits it to a two-year contract for at least 500 Blackbeards a year only after testing and validation, and the release said the appropriations for more than 12,000 missiles over five years were not in place.
What does a Blackbeard cost?
Reuters reported an expected unit cost of roughly $384,000 in April, compared with millions or tens of millions of dollars for some existing U.S. hypersonic weapons, according to SpaceNews.
When will Blackbeard be fielded?
Castelion targets 2027. SpaceNews noted the missile still has to complete integration, flight testing and certification first.
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Marcus Schuler
Marcus Schuler edits BattlePolicy, a daily defense-technology brief connecting the companies and capabilities behind modern war to the contest among Europe, the US, Russia, and China.