Castelion Secures $1 Billion to Scale Hypersonic Missile Production

Castelion, a four-year-old defense-tech startup, announced a Series C financing package exceeding $1 billion. The round combines $800 million in equity—co-led by JPMorgan Chase’s Strategic Investment Group, Andreessen Horowitz and Carlyle-managed funds—with a $250 million revolving credit facility. The financing values the company at $13 billion. Castelion says the capital will expand its Sandoval County, New Mexico manufacturing complex, increase output of the Blackbeard hypersonic strike missile, and accelerate development of longer-range precision weapons and defensive systems.

Castelion CEO says $1 billion funding will scale Blackbeard hypersonic missile production and expand U.S. weapons capacity Space News

Castelion reports having secured more than $500 million in U.S. military contracts over the past 18 months. The U.S. Navy awarded roughly $50 million in February and about $105 million in April to advance Blackbeard toward early operational capability, and placed a $23.4 million firm-fixed-price order for 50 pre-production missiles and associated containers. A Pentagon framework signed in May contemplates a two-year production contract with a minimum rate of 500 missiles annually after successful testing. Reuters reported the missile’s unit cost at roughly $384 000, far below the multi-million-dollar price tags of existing U.S. hypersonic weapons, suggesting a potential shift in procurement economics.

Space NewsCastelion CEO says $1 billion funding will scale Blackbeard hypersonic missile production and expand U.S. weapons capacity

Castelion emphasizes that the financing “turbocharges American production of Blackbeard” and reflects a broader “manufacturing renaissance” aimed at delivering high-rate, lower-cost weapons. The company highlights its use of vertical-integration and rapid-testing practices adapted from commercial space launch development. It also notes that the Blackbeard program moved from clean-sheet design to a program of record in under four years, with fielding targeted for 2027.

Castelion CEO says $1 billion funding will scale Blackbeard hypersonic missile production and expand U.S. weapons capacity

The funding aligns with the Pentagon’s recent push to diversify the defense industrial base and increase missile production capacity after supply-chain strains revealed in recent conflicts. hypersonic arsenal while reducing per-missile costs.

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• “There’s a manufacturing renaissance underway and this round turbocharges American production of Blackbeard,” — Bryon Hargis, Castelion’s co-founder and chief executive

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• “Deterrence depends on unapologetic American strength; highly capable weapon systems that adversaries fear produced in quantities they can’t imagine at a price taxpayers can afford,” — Bryon Hargis, Castelion’s co-founder and chief executive

Castelion CEO says $1 billion funding will scale Blackbeard hypersonic missile production and expand U.S. weapons capacity

• “Designed in California, built in New Mexico, supplied from small and large businesses across the United States; Blackbeard is an example of what America can do when private capital and Government work together,” — Bryon Hargis, Castelion’s co-founder and chief executive

Castelion CEO says $1 billion funding will scale Blackbeard hypersonic missile production and expand U.S. weapons capacity

• “Castelion is helping to address a critical national security challenge by bringing greater speed, agility and manufacturing capacity to the development of next-generation defense technologies,” — Todd Combs

Castelion CEO says $1 billion funding will scale Blackbeard hypersonic missile production and expand U.S. weapons capacity