Defense Electronics M&A Transactions - May 2025

Download and read the May 2025 issue of the Defense Electronics Monthly, covering the latest M&A deal news and valuation trends in the defense electronics sector, including activity in segments such as C4ISR and electronic warfare, rugged electronics, RF & microwave, embedded computing, interconnects, microelectronics & semiconductor and test & measurement. Sign up for the Defense Electronics Monthly distribution list to stay up-to-date on the headline acquisitions impacting your market and the current dynamics of the publicly traded strategic companies within the industry.

Key Defense Electronics Deals Announced

Target	Buyer	Description
a portfolio company of		Target: Washington D.C.-based Star Lab provides anti-tamper and cybersecurity software solutions designed to protect mission-critical processors from advanced attacks. The company's solutions are integrated into a wide range of Mercury's products including rugged servers, embedded processing cards, mixed signal cards, avionics, and integrated processing solutions. Buyer: Andover, MA-based Mercury Systems is a developer of secure, high-performance computing solutions specializing in open-architecture hardware and software for aerospace and defense applications. The company offers products including embedded processing modules, avionics mission computers, and trusted microelectronics components. Terms: Transaction announced on May 1, 2025. Terms not disclosed.
KARGO UAV program		Target: Bloomfield, CT-based The KARGO UAV program of Kaman is an autonomous medium-lift unmanned aerial vehicle, designed to provide efficient and reliable cargo resupply in challenging environments. The program features vertical takeoff and landing capabilities, a payload capacity of up to 800 pounds, and autonomous navigation systems for precise delivery missions. Buyer: Essington, PA-based Piasecki Aircraft is a research and development company specializing in the design, fabrication, and flight testing of experimental rotorcraft and unmanned aerial vehicles. The company has developed and flown over 25 advanced VTOL and UAV aircraft. Terms: Transaction announced on May 1, 2025. Terms not disclosed.
		Target: Ireland-based Klas is a developer of rugged tactical communications equipment for private sector, international government, and U.S. federal government autonomous vehicle, defense, and transportation markets. The company's products are designed for remote and austere environments where low size, weight, power and ruggedization are required. Buyer: Costa Mesa, CA-based Anduril Industries is a defense technology company specializing in autonomous systems and artificial intelligence-driven surveillance platforms. The company offers products such as autonomous drones, surveillance towers, and AI-powered command and control software. Terms: Transaction announced on May 5, 2025. Terms not disclosed.
		Target: Brighton, MA-based Lightsynq Technologies is a developer of universal optical quantum interconnect solutions which enable scalable quantum computing. The company's proprietary technology leverages integrated diamond photonic circuits to create interconnects between quantum processors, facilitating the creation of large-scale, fault-tolerant quantum networks. Buyer: College Park, MD-based IonQ is a quantum computing company specializing in trapped-ion quantum systems accessible via major cloud platforms. The company offers quantum computing hardware and software solutions for commercial, industrial, and academic applications. Terms: Transaction announced on May 7, 2025. Terms not disclosed.