M&A advisory for DefenseTech companies
Defense tech M&A has accelerated since 2022. Rising defense spending across the US, UK and EU, the post-Ukraine reset in NATO procurement and a wave of strategic interest from the primes have widened the buyer set materially. Recent activity has spanned drones, autonomy, C4ISR, cyber and space adjacencies, with primes acquiring specific capability and PE platforms building diversified defense-tech roll-ups.
The strategic buyer set runs across Lockheed Martin, RTX, Northrop Grumman, General Dynamics, BAE Systems, Leonardo and L3Harris on the prime side, with Anduril and Palantir active as acquirers in autonomy and software-defined warfare. ITAR, EAR, FOCI and CFIUS overlays shape which counterparts can actually close given the company's clearance, technology-control and ownership profile. Flow has direct relationships with corporate development at the named primes and with the defense-focused PE platforms consolidating in the category.
Flow team has relevant sector experience and has worked with defense tech companies across unmanned systems and counter-UAS, C4ISR and software-defined warfare, space and satellite defense, defense electronics and sensors, and dual-use cyber and autonomy platforms.
"DefenseTech" KPIs M&A buyers look at
Key metrics strategics and PE buyers look at when analayzing DefenseTech M&A targets
Contract backlog
Bookings (programme of record)
Design wins
Active programmes
FMS / export approvals
Units delivered
POC / milestone revenue
Gross margin by contract type
Cleared headcount
Cash runway (months)
DefenseTech valuations in May 2026
Public DefenseTech comps trade at 3.7x EV/Revenue. Median revenue multiple across DefenseTech M&A deals was 2.9x in the last 12 months.
3.7x
Median EV/Revenue as of May 2026 for public DefenseTech companies
72x
Palantir is the highest valued public DefenseTech company based on EV/Revenue (excluding outliers)
2.9x
Median EV/Revenue across DefenseTech M&A deals in the last 12 months
26x
Median EV/Revenue across DefenseTech VC rounds in the last 12 months
Key recent DefenseTech M&A deals
$33B acquisition of AES by BlackRock was the largest DefenseTech M&A transaction completed in the last year.
See all DefenseTech M&A deals| Logo | HQ | Description | Buyer | ||||
|---|---|---|---|---|---|---|---|
Mar-26 | AES |  | AES is a global power company that operates in 15 countries. Its generation portfolio totals over 32 gigawatts, including renewable energy (50%), gas (32%), coal (16%), and oil (2%). AES has majority ownership and operates six electric utilities distributing power to more than 2.5 million customers. | BlackRockEQT | $33B | 2.7x | |
Jun-25 | Digital Global Systems | | Digital Global Systems is a provider of radio frequency spectrum management solutions headquartered in Virginia, United States. The company deploys hardware and software for real-time interference detection across 9 kHz to 40 GHz bands supporting 5G, LTE, and satellite networks. Serving telecommunications carriers like AT&T, defense agencies including the U.S. Department of Defense, and public safety organizations, its Watchdog system offers geolocation accuracy within 1 km. Digital Global Systems maintains deployments in over 50 countries with analytics dashboards for policy enforcement and network optimization. | Casa del Fuego Family Office and Trust | $5.0B | - | |
May-25 | Silvus Technologies | | Silvus Technologies is a Los Angeles-headquartered designer of Mobile Ad-Hoc Network radios using proprietary MN-MIMO waveform technology. Its StreamCaster family, including SC4200EP, SC4400E, SL4200, and SL5200 models, delivers high-throughput video, voice, and data links for hundreds of nodes. Deployed by U.S. Department of Defense branches, first responders, and UAV operators, the systems excel in electronic warfare environments and support tactical operations in defense, broadcast, and public safety domains. | Motorola | $4.4B | 9.3x | |
Dec-25 | Arka Group | | Arka Group is a Bengaluru-based systems integrator for defense communications, including software-defined radios, optical networks, satellite payloads, and C4I systems. It develops tactical radios compliant with MIL-STD-188-141 for Indian armed forces and NATO allies, alongside fiber-optic subsystems for naval vessels. Arka Group supplies integrated solutions to DRDO projects and exports to Southeast Asia, maintaining facilities certified under AS9100 for aerospace hardware production. | CACI International | $2.6B | 4.0x | |
Jul-25 | Iveco Defence Vehicles |  | Iveco Defence Vehicles is a Bolzano-headquartered brand of Iveco Group specializing in military vehicles. The company produces logistic trucks, protected mobility vehicles, and armoured platforms like the SuperAV amphibious vehicle and Trakker tactical trucks. Manufactured at its 170,000-square-meter Italian facility, IDV supplies forces in over 30 countries, including the Italian Army and NATO allies. Established in 1970, it adapts commercial IVECO trucks for defence with ballistic protection and C4ISR integrations. | Leonardo | $1.8B | - | |
Oct-25 | Smiths Interconnect | | Smiths Interconnect is a Geneva-headquartered designer of RF/microwave components, antennas, and hybrid microelectronics for aerospace, defense, space, telecom, and medical applications. The company produces multi-channel amplifiers, rotary joints, and fiber optic systems integrated into platforms like F-35 fighters, satellites, and MRI scanners, with production sites in the U.S., Europe, and Asia. | Molex | $1.7B | - | |
Nov-25 | TriMas Aerospace | | TriMas Aerospace is a manufacturer of precision fasteners, rivets, bolts, nuts, ducting, and assemblies for commercial, military, and power generation markets. Headquartered in Los Angeles, California, as a TriMas Corporation division, it supplies platforms like Boeing 737, F-35 Joint Strike Fighter, and GE engines through brands Allfast, Mac Fasteners, and RSA. The company holds NADCAP approvals and AS9100 certification, producing from facilities in California, Connecticut, and Mexico. TriMas Aerospace delivers over 100 million parts annually to OEMs worldwide. | Tinicum | $1.4B | 1.3x | |
Mar-26 | Arctos | | - | DCS Corp | $1.4B | - | |
Dec-25 | Stellant Systems | | Stellant Systems is a U.S. manufacturer of high-power RF amplifiers, traveling wave tubes, and microwave devices serving satellite, defense, and radar applications. | TransDigm | $960M | 3.2x | |
Oct-25 | Sci Tec | | SciTec is an Albuquerque-headquartered developer of remote sensing and surveillance technologies for U.S. defense and national security. Services encompass electro-optical and infrared sensor modeling, algorithm design for missile warning, signal processing for space domain awareness, custom instrumentation, and test evaluation at sites like White Sands Missile Range. | Firefly Aerospace | $855M | 5.2x | |
Sep-25 | China Shipbuilding Industry |  | China Shipbuilding Industry Corporation is a state-owned builder of warships, submarines, and commercial vessels at 20 shipyards across China. The corporation produces destroyers, frigates, low-speed marine diesel engines, and propellers for naval and export markets. It develops offshore platforms and wind gearboxes through specialized units. Formed in 1999 by merging northern shipyards, the Beijing-headquartered firm delivered 5 million tons of vessels in 2022. It supplies equipment to global clients including Pakistan and Thailand. | China Shipbuilding | $828M | 1.7x | |
Jun-25 | S | Simmonds Precision Products | | Simmonds Precision Products is a Vermont-based designer and manufacturer of aerospace components headquartered in Vergennes. Acquired by Precision Castparts in 2016, it produces fuel quantity gauging systems, proximity sensors, and structural health monitoring technologies for commercial and military aircraft engines. | TransDigm | $765M | 2.2x |
Mar-26 | Covelya Group |  | Covelya Group is a UK technology group applying digital, wireless, and autonomous technologies across energy, science, defence, and commercial markets. The firm draws on 50 years of maritime expertise and employs 454 people to advance offshore capabilities. | Kraken Robotics | $615M | 2.3x | |
Mar-26 | PrecisionX Group | | PrecisionX Group is an Ohio-based manufacturer of precision-machined metal components for aerospace, defense, medical, electric vehicle, space, mining, semiconductor, and industrial sectors. The company produces complex parts using multi-axis CNC machining, 5-axis milling, and Swiss turning from materials like titanium, Inconel, and aluminum. PrecisionX serves Tier 1 suppliers and OEMs including Boeing, Lockheed Martin, and SpaceX, holding AS9100D and ISO 13485 certifications. Founded in 2019, it operates from a 50,000-square-foot facility in Cincinnati with capacity for high-volume production runs. | Windjammer Capital Investors | $500M | 2.5x | |
Jun-25 | ScioTeq |  | ScioTeq is a designer and manufacturer of avionics displays and mission computers headquartered in Brussels, Belgium. Its products include high-resolution video displays, radar interfaces, and software for air traffic control, fighter jets, and naval vessels. With facilities in Belgium and the United States, ScioTeq equips platforms like Eurofighter Typhoon and supports NATO programs. | Tikehau Capital | $432M | 3.0x |
Most active buyers of DefenseTech companies
Ondas, Motorola and TransDigm are the most active acquirers of DefenseTech companies in the last three years.
See all DefenseTech acquirers| Logo | HQ | Description | Key acquisitions | ||
|---|---|---|---|---|---|
Ondas | | Ondas Inc designs, develops, manufactures, sells, and supports FullMAX Software Defined Radio (SDR) technology in the United States, Israel, and India. The company operates in two business segments namely Ondas Networks and Ondas Autonomous Systems. The company generates maximum revenue from Ondas Autonomous Systems through the sales of the Optimus system and separately priced support, maintenance, and ancillary services related to the sale of the Optimus system. | OmnisysIndo Earth MovingBIRD Aerosystems+2 | 7 | |
Motorola | | Motorola Solutions is a leading provider of communications and analytics, primarily serving public safety departments as well as schools, hospitals, and businesses. The bulk of the firm's revenue comes from sales of land mobile radios and radio network infrastructure, but the firm also sells surveillance equipment, dispatch software, and other networking capabilities. Most of Motorola's revenue comes from government agencies, while roughly 25% comes from schools and private businesses. Motorola has customers in over 100 countries and in every state in the United States. | EXACOMBlue EyeSilvus Technologies+2 | 5 | |
TransDigm | | TransDigm manufactures and services a broad set of specialized parts for commercial and military aircraft. The firm organizes itself in three segments: power and control, airframes, and a small non-aviation segment, which serves mostly off-road vehicles and mining equipment. It operates as an acquisitive holding company that focuses on buying up smaller firms that make proprietary aerospace products with substantial aftermarket demand. TransDigm regularly employs financial leverage to amplify its operating results. | Stellant SystemsSimmonds Precision ProductsServotronics+2 | 5 | |
Anduril Industries | | Anduril Industries is a Costa Mesa-based defense technology company developing autonomous systems for national security. Founded in 2017, it produces AI-powered products including Lattice command software, Sentry surveillance towers, Ghost drones, and Roadrunner munitions. The company supplies U.S. Department of Defense branches, Customs and Border Protection, and allies like the UK Ministry of Defence and Australian Border Force. | ExoAnalytic SolutionsAmerican Infrared SolutionsNumerica Corporation+2 | 5 | |
CACI International | | CACI International Inc is an information solutions and services provider, offering information solutions and services to its customers. The company's primary customers are agencies and departments of the U.S. government, which account for the vast majority of the firm's revenue. It provides information solutions and services supporting national security missions and government modernization for intelligence, defense, and federal civilian customers. Some of the services provided by the company are functional software development, data, and business analysis, IT operations support, naval architecture, and life cycle support intelligence among others. The company's operating segments are; Domestic operations and International operations. It derives key revenue from the Domestic segment. | Arka GroupApplied InsightAzure Summit Technology+1 | 4 | |
Quantum Systems |  | Quantum Systems is a Munich-based manufacturer of AI-powered drones like Trinity Pro and Vector for defense, security, and emergency response. Its heavy-lift VTOL systems provide BVLOS reconnaissance with EO/IR payloads and real-time data analytics, serving NATO forces, border patrols, and firefighting units in Europe and the Middle East. | FERNRIDESpleenlabAirRobot | 3 | |
Arlington Capital Partners | | Arlington Capital Partners invests in middle-market companies through private equity funds targeting healthcare services, aerospace and defense, government services, outsourced business services, and software. Headquartered in Washington, D.C., the firm manages over $2 billion in committed capital and pursues control buyouts and growth equity deals valued between $100 million and $500 million. Portfolio companies include defense contractors and healthcare providers serving U.S. government clients. | Eptec DefenceMerrill Technologies GroupPegasus Steel+1 | 3 | |
Teledyne | | Teledyne Technologies Inc provides enabling technologies to sense, analyze and distribute information for industrial growth markets that require advanced technology and high reliability. The firm operates in four segments: Digital Imaging, Instrumentation, Aerospace and Defense Electronics, and Engineered Systems. The Digital Imaging segment, that derives maximum revenue, includes high-performance sensors, cameras and systems, within the visible, infrared and X-ray spectra for use in industrial, government and medical applications, as well as MEMS and high-performance, high-reliability semiconductors including analog-to-digital and digital-to-analog converters. Geographically, the company operates in United States, Europe, Asia, and All other. | Saab (TransponderTech unit)Excelitas Technologies (select aerospace and defense electronics units)Micropac+1 | 3 | |
PentenAmio | | PentenAmio is a provider of secure mobile communications systems integrated with AI-powered cyber defense tools and electronic deception technologies. It delivers solutions for protected messaging and threat disruption tailored to defense and security sectors. | Armour CommunicationsAmiosec LimitedPenten | 3 | |
Parsons | | Parsons Corp is a provider of technology-driven solutions in the defense, intelligence, and critical infrastructure markets. The business activities of the group are carried out through Federal Solutions and Critical Infrastructure segments. The Federal Solutions segment is a high-end service and technology provider to the U.S. government, delivering timely, cost-effective solutions for mission-critical projects, whereas the Critical Infrastructure segment provides integrated design and engineering services for complex physical and digital infrastructure around the globe. The company derives maximum revenue from Federal Solutions segment. Geographically, the company derives revenue from North America; Middle East; and Rest of the World, of which North America derives maximum revenue. | Chesapeake Technology InternationalBlackSignal TechnologiesSealing Technologies+2 | 3 |
Founders and investors we've worked with
We've supported winning builders across DefenseTech and beyond.
Boryszew
We provided buy-side advice to Boryszew, a Warsaw-listed diversified industrial group across automotive, metals and chemicals, on industrial software market mapping and target screening for its buy-and-build strategy.
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Element
We provided buy-side commercial due diligence to Element Materials Technology, a London-headquartered global TIC services provider, on a series of potential add-on acquisitions in the testing, inspection and certification space.
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MAILINGWORK
We acted as exclusive sell-side advisor to MAILINGWORK, a Chemnitz-based email marketing software platform, on its sale to French digital marketing leader Positive Group.
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TestSolutions
We acted as exclusive financial advisor to Swiss PE firm Patrimonium on its majority stake acquisition of TestSolutions, a Frankfurt-based software testing and IT services provider.
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Rebellion Pay
We acted as exclusive sell-side advisor to Rebellion Pay, Spain's leading Gen Z neobanking platform, on its sale to Turkish consumer fintech unicorn Papara.
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