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Tag: unmanned systems

AeroVironment to acquire BlueHalo for $4.1B

AeroVironment, an Arlington County defense contractor, announced this week it will purchase aerospace and defense tech firm BlueHalo for approximately $4.1 billion in an all-stock transaction.

Also based in Arlington, BlueHalo is owned by private equity firm Arlington Capital Partners and works in space technologies, counter-uncrewed aircraft systems, directed energy, electronic warfare, cyber, artificial intelligence and uncrewed underwater vehicles. In 2022, the company won a $1.4 billion contract from the U.S. Space Force to modernize satellite operations.

BlueHalo estimates its 2024 revenue to be more than $900 million, an increase from $886 million in 2023. The company has a funded backlog of nearly $600 million, according to Tuesday’s announcement. The combined company, expected to deliver more than $1.7 billion in revenue, will be based at AeroVironment’s corporate headquarters.

“BlueHalo was founded to address the most pressing challenges confronting the defense and national security community, from unconventional threats to near-peer adversaries. We have pioneered solutions for drone warfare, distributed autonomy, and the need for more robust and assured access to space in an increasingly contested, crowded and competitive domain,” Jonathan Moneymaker, BlueHalo CEO, said in a statement. “By uniting with [AeroVironment], we are building an organization equipped to meet emerging defense priorities and deliver purpose-driven, state-of-the-art solutions with unmatched speed. 

BlueHalo’s 10 “flagship solution families” and more than 100 patents will integrate with AeroVironment’s expertise in the design, development, manufacturing, training and servicing of uncrewed systems, loitering munitions, which are also known as suicide drones, and advanced technologies, according to the release.

The acquisition will allow for administrative and operational cost savings. The combined company is expected to deliver more than $1.7 billion in revenue.

“Together, we will drive agile innovation and deliver comprehensive, next-generation solutions designed to redefine the future of defense,” said Wahid Nawabi, chairman, president and CEO of AeroVironment.

The deal is expected to close in the first half of 2025 subject to regulatory approvals, AeroVironment shareholder approvals and other closing conditions. 

Under the agreement, AeroVironment will issue about 18.5 million shares of company stock to BlueHalo. Following the close of the acquisition, AeroVironment shareholders will own about 60.5% of the combined company and BlueHalo equity holders will own about 39.55%. As the majority owner of BlueHalo, Arlington Capital Partners “will retain a significant ownership stake in the combined company.” 

Nawabi will be chairman, president and CEO of the combined company, while Moneymaker will serve as a strategic advisor to Nawabi and the combined company management team. Arlington Capital Partners will have the right to appoint two directors to the combined company’s board. 

Arlington Capital Partners and BlueHalo used J.P. Morgan Securities as a financial advisor and Goodwin Procter as legal advisor. RBC Capital Markets is serving as financial adviser, and Latham & Watkins is serving as legal advisor to AeroVironment.

AeroVironment relocated its corporate headquarters from Simi Valley, California, to Arlington in 2021.

HII’s Mission Technologies wins $347M Navy contract

Huntington Ingalls Industries’ McLean-based Mission Technologies will build nine undersea drones for the Navy’s Lionfish System program in a deal that could grow to as many as 200 vehicles during the next five years, with a total value of more than $347 million.

Newport News-based HII announced the contract Wednesday. The system is based on HII’s Remus 300, a portable, two-person small unmanned undersea vehicle (SUUV), which has an open architecture design and versatile payload options. The Navy picked Remus 300 as its official program of record for its next-generation SUUV in March 2022.

The contract includes delivery and support of the SUUVs, as well as afloat and auxiliary support equipment and engineering services.

“Lionfish provides increased capability and interoperability that aligns with the Navy’s undersea priorities and we look forward to delivering next-generation vehicles that can readily adapt to and support a variety of mission needs,” Andy Green, HII executive vice president and Mission Technologies president, said in a statement.

Mission Technologies received a $1.3 billion task order in April to provide a large-scale network of medical, rotary and fixed-wing solutions to support U.S. Africa Command’s Warfighter Recovery Network. Also that month, the company received a $995 million contract to advise and assist the U.S. Air Forces in Europe-Air Forces Africa.

Huntington Ingalls Industries is the nation’s largest military shipbuilder. The Fortune 500 company employs more than 44,000 workers and is Virginia’s largest industrial employer. Its Newport News Shipbuilding division is the United States’ only manufacturer of nuclear-powered aircraft carriers.

McLean startup raises $75M for air taxi network

Fritz Lang’s 1927 film “Metropolis” predicted cities with flying cars, while Hanna-Barbera followed that vision 35 years later with “The Jetsons” and its commuter “skyways.” Now, however, air taxis are close to becoming reality.

The industry could generate up to $16 billion in new business investments in Virginia and carry as many as 66 million passengers by 2045, according to a January report from the Virginia Innovation Partnership Corp. and the state commerce and trade secretary.

But those taxis will require management so they don’t crash into other aircraft. That’s where McLean-based AURA Network Systems Inc. comes in.

AURA — which stands for Advanced Ultra Reliable Aviation — is developing a secure, regulatory-compliant network that can control unmanned, remotely piloted aircraft on extended flights beyond an operator’s visual line of sight. In November 2022, AURA raised $75 million in financing from investment companies including Fortress Investment Group LLC and Mudrick Capital Management LP.

Fortress Investment Group Managing Partner Drew McKnight, an AURA board member, says the company will be a “critical innovator” in the infant industry.

According to AURA CEO and co-founder Bill Tolpegin, the company’s proprietary technology could eventually shuttle people through cities.

AURA, he notes, has an exclusive license from the Federal Communications Commission to operate its network on the 450 MHz band, which is reserved for aviation purposes. AURA’s secure, private network “doesn’t touch the internet,” he says, enhancing flight safety and reducing signal latency.

Thomas Alberts, an aerospace engineering professor at Old Dominion University, notes that AURA’s network signal frequency lets it travel through “trees and obstacles and longer distances.”

AURA tested its network in Maryland in July 2022. Pilots flew a Cessna 208 Caravan while the network tested its ability to switch control of the plane from one ground station to the other.

The next step is to build a network for specific companies. At first, that will probably be cargo companies, which will use the network for delivery routes.

Lance Sherry, director for the Center for Air Transportation Systems Research at George Mason University, says advances like autonomous cargo aircraft and air taxis will make communications systems like AURA’s “absolutely critical. … As we go into the future, the vehicles are going to be communicating more and more with each other to avoid collisions … [and] plan their routes so that they’re conflict-free.”  

ManTech secures $118M Navy contract

Herndon-based tech contractor ManTech International Corp. has secured a $188 million, five-year contract to support the U.S. Navy’s Naval Surface Warfare Center Crane by providing tech solutions for intelligence, surveillance and reconnaissance by unmanned aircraft systems.

“At ManTech, intelligent systems engineering is a core competency where we excel at developing innovation solutions. … Under this important re-compete win, our aim is to ensure battle-space dominance at speed across the full range of combat scenarios,” David Hathaway, executive vice president and general manager of ManTech’s Defense sector, said in a statement.

The contract falls under the Department of Defense Information Analysis Center’s multiple-award vehicle. The center provides technical data management and research support for the Defense Department and other federal government users.

Founded in 1968, ManTech provides technology solutions for U.S. defense, intelligence and federal civilian agencies. In 2020, the Fortune 1000 company reported $2.5 billion in revenue, and the company reported $637.8 million in revenue for the third quarter of 2021. In December 2021, ManTech announced it had completed its $350 million acquisition of Gryphon Technologies.

DroneUp inks deal with Walmart, acquires AirMap

Virginia Beach-based DroneUp LLC is making moves at the end of the year, with a new partnership with Walmart Inc. and the acquisition of Santa Monica, California-based AirMap Inc., a company specializing in air traffic management software for drones.

DroneUp and Walmart will have the first multisite commercial drone delivery operations, or hubs, in northwest Arkansas, according to a news release from DroneUp.

A Walmart store in Farmingham, Arkansas, is the first to offer drone services to customers, delivering within about 30 minutes. Two more stores, a Walmart Neighborhood Market in Rogers, Arkansas, and a Walmart Supercenter in Bentonville, Arkansas, will be the next two to feature drone delivery in the coming months.

“When we invested in DroneUp earlier this year, we envisioned a drone delivery operation that could be quickly executed and replicated across multiple stores,” said Tom Ward, senior vice president of last mile at Walmart U.S., in a statement. “Opening our first hub within months of our initial concept showcases DroneUp’s ability to safely execute drone delivery operations with speed. We’re already hearing great customer feedback at our first site in Farmington, Arkansas, and look forward to opening additional locations.”

Walmart already has the infrastructure in place to serve more than 4,700 stores stocked with the 120,000 of the chain’s most-purchased items, according to a news release.

DroneUp announced the acquisition of AirMap Tuesday. Financial terms were not disclosed.

AirMap specializes in flight traffic management software for unmanned aerial vehicles, connecting airspace authorities with the drone ecosystem to exchange information about the low-altitude airspace traffic management environment using a cloud-based dashboard. It’s one of three international platforms for unmanned aircraft traffic management, according to DroneUp.

“We’ve integrated with the best aerospace teams to bring drone delivery and flight services to market faster and more economically with our patented flight management software, and now the industry’s No. 1 UTM solution,” said DroneUp CEO Tom Walker in a statement. “We believe DroneUp has a moral obligation to continue investment in and expansion of the AirMap platform. We will ensure this resource remains openly available to the drone industry, municipalities and the Federal Aviation Administration.”

The acquisition combines AirMap’s global airspace management with DroneUp’s network, fleet and infrastructure. The acquisition gives DroneUp solutions for the three most significant hurdles in the drone industry: ground game/pilots, software/hardware, and unmanned aircraft traffic management.
“We are excited to be joining the DroneUp team,” said Ben Marcus, co-founder of AirMap in a statement. “Since its inception, AirMap has worked to create a future where drones deliver value to millions of people in their everyday lives. DroneUp is also committed to this mission, and through its resilient, extensible network and partnership with Walmart, I am confident that we are going to create this reality.”
Marcus will be an adviser to DroneUp. Andi Lamprecht, vice president of research and development, will join DroneUp.
In April 2020, DroneUp acquired Glenview, Illinois-based AeroVista Innovations LLC, which provides drone training for private and public sectors called the DroneUp Training Academy.
DroneUp operates throughout the U.S. and is an authorized government drone services provider in 13 states and has more than 190 active waivers and authorizations with the FAA. The company was started by Walker in 2016 and provides aerial data collection, training, program integration and equipment sales.

SAIC lands $90M Air Force contract

Reston-based Fortune 500 government contractor Science Applications International Corp. (SAIC) has been awarded a $90 million contract to help protect Department of Defense Combatant Commands from small unmanned aircraft systems.

The contract was awarded by the U.S. Air Force and its Life Cycle and Management Center, Force Protection Division, the company announced in a Tuesday news release.

The company will provide a broad range of integrated logistics, support and sustainment services necessary to modernize defenses against the threat of unmanned aircraft systems in the United States. SAIC will also work to repair and maintain counter systems, equipment and software, including help desk support, logistics, corrective and preventative maintenance, training and supply chain management.

DroneUp names chief strategy officer

Virginia Beach-based DroneUp LLC announced Tuesday it has hired Carl Smit as its chief strategy officer.

In his new role, he will advise CEO Tom Walker and DroneUp’s senior leadership team to set the strategic direction of the company and focus on growing its retail drone delivery offerings. He will also oversee corporate development including mergers, acquisitions, partnerships and joint ventures.

“[Smit’s] experience in global retail, product development and innovation will be invaluable as we continue our record growth,” Walker said in a statement. “I look forward to Carl’s counsel and having him as part of our senior leadership team as we continue our leadership position in the retail drone delivery market.”

Smit started his career as a U.S. Navy SEAL and then spent nearly a decade working with Apple Inc. He also previously worked for Under Armour Inc. and then served as vice president of retail experience for Verizon Communications Inc. He most recently worked as an independent consultant to consumer electronics and retail clients.

Smit earned his bachelor’s degree from the U.S. Naval Academy and his master’s degree in business administration from INSEAD.

During the COVID-19 crisis, DroneUp has been testing how drones can assist medical professionals in delivering test samples and personal protective equipment in no-contact, emergency situations. The company was founded in 2016 and provides aerial data collection, training, program integration and equipment sales. It has more than 10,000 certified drone pilots.

 

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HII acquires unmanned systems business

Newport News-based Huntington Ingalls Industries (HII) announced Monday it has acquired Virginia Beach-based Spatial Integrated Systems Inc.’s (SIS) autonomy business.

Financial terms of the transaction were not disclosed, but the acquisition expands HII’s unmanned systems capabilities, according to a company statement. Approximately 50 SIS employees will join unmanned systems business group in HII’s Technical Solutions division.

“2020 was a significant year for HII in the unmanned systems industry, and this acquisition is the perfect complement to our existing portfolio and strategic partnerships,” Andy Green, HII executive vice president and technical solutions president, said in a statement.

SIS has worked on developing air-, land- and sea-based unmanned systems solutions for the Department of Defense.

SIS President and Chief Operating Officer Sam Lewis will lead the company’s unmanned service vehicles efforts.

HII is the nation’s largest military shipbuilding company, employing more than 42,000 people worldwide.

 

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Unmanned aircraft company creating 249 jobs in Warren County

Silent Falcon UAS, an unmanned aircraft systems service provider and equipment manufacturer, will invest $6 million to locate its new East Coast headquarters for research development and manufacturing at the Front Royal-Warren County Airport, creating 249 jobs, Gov. Ralph Northam announced Tuesday.

Founded in Albuquerque, New Mexico, Silent Falcon UAS manufactures patent-pending unmanned aircraft systems components and sensors for security, military and commercial customers. Its decision to move operations to Virginia coincides with an expansion of the company’s data collection business for runway inspections at airports.

“Silent Falcon UAS Technologies’ decision to establish its East Coast operations in Warren County and create a new workforce development partnership speaks volumes to Virginia’s leadership in the fast-growing unmanned systems industry,” Northam said in a statement. “With one of the nation’s largest transportation networks, an unmatched talent pipeline, and competitive operating costs, the commonwealth is an ideal location for the company to reach its expanding customer base.”

Randolph-Macon Academy’s Unmanned Systems Lab in Front Royal will partner with Silent Falcon through its drone program, which provides students experience with unmanned technology. The college-prep boarding school will work with the company to design new program curricula to prepare students for careers focused on unmanned aircraft.

“The small, business-friendly atmosphere and the availability of a great workforce were real selling points,” Silent Falcon CEO Grant Bishop said in a statement. “In addition, we are particularly excited about collaborating with the Randolph-Macon Academy and its innovative UAS program under the leadership of General Wesley, which has been at the forefront of training future UAS pilots and specialists.” 

The Virginia Economic Development Partnership worked with Warren County, the Virginia Department of Aviation and the Center for Innovative Technology to secure the project for Virginia. The commonwealth competed with Massachusetts and New Jersey for the project.

Northam also approved a $161,482 Commonwealth’s Opportunity Fund grant to help Warren County with the project. The company can receive Major Business Facility Job Tax Credit benefits for full-time jobs created. The Virginia Jobs Investment Program will support employee training activities.

 

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Northrop Grumman lands potential $4.8B Air Force drone modernization

Northrop Grumman Corp. has received a potential $4.8 billion contract to update, refurbish and sustain the U.S. Air Force’s fleet of RQ-4 Global Hawk unmanned aerial systems.

The indefinite-delivery/indefinite-quantity contract for the Falls Church-based company includes task orders for specific UAS modernization services in line with the Air Force’s Global Hawk program, the Department of Defense announced Monday.

Contract work in support of the UAS and its variants cover various activities including program management, engineering, analysis, overseas contingency operations support, fielding assistance, logistics services, facilities modification, quality assurance and requirements specification management.

The Air Force Life Cycle Management Center will obligate multiple fiscal-year appropriations for the sole-sourced award. Northrop will perform work under the IDIQ contract in San Diego through Sept. 30, 2030. Since 2001, the Air Force has deployed Global Hawk to support long-distance operations such as intelligence gathering, emergency response, search-and-rescue and weather forecasting.

 

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