Shield AI finalises agreement to acquire Echodyne

Echodyne's EchoGuard small C-UAV radar seen mounted below three sensors, displayed at Eurosatory 2026. (Janes/Tom Barton)

Defence technology company Shield AI announced on 5 November that it has “entered into a definitive agreement to acquire” radar company Echodyne Corp in a transaction valued at USD5.3 billion. Shield AI noted in a statement that Echodyne's radars are integrated with counter-drone and security systems in service with defence, government, and commercial customers in more than 40 countries.

“Shield AI is raising USD2.5 billion to support the transaction, including USD1 billion in Series H funding at a USD28.8 billion post-money valuation; a USD1 billion structured equity investment from funds managed by Blackstone; and USD500 million in debt financing led by JPMorgan Chase Bank, N.A. as sole arranger,” the statement said.

The Series H funding “will be used principally to fund the acquisition of Echodyne”, the statement noted.

Of this USD5.3 billion transaction value, “USD4.8 billion will be paid and issued at closing and up to an additional USD500 million is contingent on Echodyne meeting agreed performance targets”, the statement noted.

The acquisition will add Echodyne's software-defined radars to Shield AI's Mission Systems business, the statement said, adding that Echodyne brings metamaterials-based radar technology, engineering expertise, and manufacturing capacity.

Within the Mission Systems business, Echodyne will sit alongside Vision Systems, which Shield AI built from its 2024 acquisition of Sentient Vision Systems, the spokesperson said. That company makes software that detects small objects from camera feeds, the spokesperson noted.