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Shield will buy Kirkland radar company Echodyne in a $5.3 billion deal
Shield is raising $2.5 billion to support the Echodyne deal
Source: KOMO
View as table
| Amount | Share | |
|---|---|---|
| Series H funding | $1,000M | 40% |
| Blackstone structured equity | $1,000M | 40% |
| JPMorgan-led debt financing | $500M | 20% |
Shield, the defense-technology company that plans to build its AI-piloted X-BAT fighter jet in Des Moines, announced Thu., Nov. 5 that it will acquire Kirkland-based Echodyne for $5.3 billion. The deal is expected to close in early 2027, pending regulatory approvals.
Of that total, $4.8 billion is paid and issued at closing, and up to $500 million more depends on Echodyne hitting performance targets. Shield says it's raising $2.5 billion to support the transaction.
- Echodyne radars: used in more than 40 countries
- Woodinville plant: about 30,000 radars a year
- Echodyne headquarters: stays in Kirkland
- Both companies expect triple-digit revenue growth this fiscal year
In Des Moines, Shield has leased a large facility at 1800 S. 216th St. in Des Moines Creek Business Park West to build X-BAT. KOMO says the company has begun hiring thousands of people for its new Puget Sound facility. Asked whether Echodyne technology will go into X-BAT, Shield said it's not announcing specific aircraft integrations.
Shield's Echodyne deal and Des Moines plans run through 2029
- Sept. 2014Echodyne was founded.
- Nov. 5Shield announced it will acquire Echodyne for $5.3 billion.
- Early 2027The acquisition is expected to close.
- March 2027Shield's new Puget Sound facility is set to open.
- 2028Shield's deadline to demonstrate X-BAT mission capability.
- 2029Full X-BAT production is slated to begin.
Sources: 425 Business, KOMO
