X-Bow Systems Raises Over $105 Million in Series B Funding Led by Lockheed Martin

Insider Brief

• X-Bow Systems has closed a $105 million Series B funding round, led strategically by Lockheed Martin to scale solid rocket motor (SRM) production and defense innovation.
• The agreement makes X-Bow an independent SRM supplier to Lockheed Martin and expands production capacity with a new energetics campus in Texas.
• X-Bow’s patented advanced manufacturing technology and deployable “Rocket Factory in a Box™” support U.S. defense modernization and rapid response capabilities.

PRESS RELEASE – X-Bow Systems Inc (X-Bow), the leading non-traditional producer of advanced manufactured solid rocket motors (SRMs) and defense technologies, announced the successful final closing of its Series B funding round, totaling over $105 million. The strategic portion of this round was led by Lockheed Martin with a significant investment in X-Bow Systems. To strengthen the industrial base and create mutual benefit for both companies, X-Bow and Lockheed Martin have entered into a strategic agreement allowing Lockheed Martin to accelerate X-Bow as a new independent supplier of SRMs and other services for their existing and future programs.

“We have built a highly respected ‘deep hardware technology’ company with the current Series A and B investments from our venture partners,” said Jason Hundley, chief executive officer and founder of X-Bow Systems. “This additional investment and our ongoing partnership with Lockheed Martin position us for significant growth. We are expanding our production capacity, accelerating our innovation efforts and strengthening our role as a critical independent supplier within the defense industrial base.”

“We are pleased to continue our investment in X-Bow Systems, a company developing SRM technology that aligns with our strategy to support innovative solutions that enhance our nation’s security,” said Chris Moran, vice president and general manager of Lockheed Martin Ventures. “Our follow-on investment in X-Bow Systems underscores Lockheed Martin’s dedication to advancing the aerospace and defense industry.”

Prior to this Series B raise, X-Bow established itself as a leader and innovator in the defense and aerospace sectors, demonstrated by:

• Successful Launch Services: A multi-year backlog in hypersonic component flight tests and other critical DoD mission capabilities.
• Non-Traditional SRM Industrial Base Leader: The only new company to be integrated into over 8 SRM programs across both strategic and tactical sizes.
• Technology Disruption: Utilizes a patented Advanced Manufacturing of Solid Propellant (AMSP) system with over 12 development iterations, capable of printing and flying both tactical and strategic size SRM energetic grains.
• Innovation Expertise: Producing and executing the development of the world’s only ‘mobile energetics factory,’ the revolutionary Rocket Factory in a Box^™, a rapidly deployable energetics production system that offers unprecedented flexibility for defense applications.

Fueled by private capital, X-Bow’s soon-to-open Texas energetics campus located just south of Austin, utilizes the company’s AMSP technology. Our affordable and sustainable SRM production approach allows the Department of Defense and other customers the speed and scale to counter evolving threats.

This total round included investment from Razor’s Edge Ventures, Crosslink Capital, Lockheed Martin, Balerion Space Ventures, Boeing Ventures, Bravo Victor Venture Capital, Upsher Management Company, Capital Factory Ventures, Arkenstone Capital, and Event Horizon Capital.

Union Square Advisors LLC served as exclusive financial advisor to X-Bow for this financing transaction.