Epirus Secures $250 Million in Series D Funding to Boost Anti-Drone System Production
By Ross Wilkers, Senior Staff Reporter
Epirus, a defense technology startup specializing in directed energy and anti-drone systems, has successfully raised $250 million in Series D funding. This latest investment round, announced Wednesday, is earmarked for expanding production capacity for the company’s flagship Leonidas system. Leonidas is engineered to disable unmanned aerial vehicles using electromagnetic pulses.
In 2023, Epirus secured a $66 million contract to supply Leonidas to the U.S. Army. This agreement included a framework for integrating the system into a future program of record following successful prototype demonstrations.
“A new era of threats mandates a shift from a ‘1 to 1’ mindset to a ‘1 to many’ way of thinking for short-range air defense, and we are primed to support the Department of Defense in this new way of warfare,” stated Andy Lowery, Epirus’ Chief Executive, in a press release. “It’s not just the effector that must operate with a ‘1 to many’ mindset—the entire kill chain, from sensors to command and control, must do the same.”
Founded in 2018, Epirus has navigated both stages of the “Valley of Death” – a term referring to government acquisition timelines and the challenges young companies face in achieving positive cash flow. This new investment arrives at a time when drone warfare has become a prominent aspect of modern conflicts, such as the ongoing war in Ukraine.
Epirus, along with other emerging firms, views lasers and microwaves as the most effective tools for neutralizing groups of unmanned aerial vehicles. This approach presents a distinct cost and operational model compared to traditional weaponry like rockets.
The Series D round was co-led by 8VC, a venture capital firm, and Washington Harbour Partners. General Dynamics’ land systems unit, known for producing tanks and other armored vehicles, is a returning investor, alongside others like StepStone Group, funds and accounts advised by T. Rowe Price Investment Management, and Gaingels. General Dynamics Land Systems is a strategic defense partner to Epirus, and they have integrated Leonidas onto the company’s Stryker ground combat vehicles.
Additional new investors include Oppenheimer’s Private Market Opportunities Vista VI Fund, NightDragon, Manhattan Venture Partners, Centaurus Capital LP, and Center15 Capital.
While Epirus did not disclose its current valuation following the Series D round, the company’s valuation was approximately $1.35 billion during its $200 million Series C round in 2022. Since its inception, Epirus has raised a total of $550 million in external capital.
Besides enhancing production capacity, Epirus plans to allocate some of its new investment toward establishing a simulation center in Oklahoma for training soldiers in anti-drone warfare. The company will also concentrate on augmenting and strengthening its supply chain and workforce while exploring new opportunities in international and commercial markets.
