Ukrainian-founded drone maker UForce raises $700 million at $6 billion valuation
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Ukrainian-founded defense technology company UForce has raised $700 million in a Series A funding round that values it at $6 billion, as it seeks to expand production of unmanned systems for Ukraine and its allies, the company announced on Nov. 12.
The investment highlights the international appetite for Ukraine's defense tech, as the war has accelerated the use of drones and robotic systems. The investment will help UForce expand production for Ukraine and supply allied countries with systems suited to modern warfare, the company said.
UForce is headquartered in London, with offices in Kyiv and Washington, D.C. It develops uncrewed systems for air, land and sea operations, as well as software to control them.
"The war in Ukraine has shown that effective defense requires systems that can keep improving as threats change,” CEO Oleg Rogynsky said.
The funding round was co-led by U.S. investment firm Valor Equity Partners and the U.K.'s National Wealth Fund, with participation from the U.S.-Ukraine Reconstruction Investment Fund (URIF). URIF's investment will support UForce's Ukrainian operations, including hiring, research and development, and new products.
The deal is URIF's largest investment in the emerging technology sector to date, said Conor Coleman, head of investments at the U.S. International Development Finance Corporation.
Other investors included Menlo Ventures, Xantium and Hiro Capital, while existing backers Shield Capital, Ballistic Ventures, Lakestar and Squadra also increased their stakes, the company said.
UForce plans to expand production in the United States, Europe, Asia-Pacific and the Middle East, including for its Magura naval drones, Nemesis aerial systems, Liut ground robots and Predator turret systems. It is also partnering with U.S. manufacturer ReconCraft to increase Magura production in the United States.
The U.K.'s National Wealth Fund separately announced a 113-million-pound ($150 million) investment in UForce, its largest defense investment to date. It expects the company's U.K. expansion to create hundreds of skilled jobs.
UForce had also been expanding its engineering team internationally. In September, CEO Rogynskyy told DOU that the company was recruiting engineers with Formula 1 experience to help develop the next generation of Magura naval drones.
