British defense startup Cambridge Aerospace closed a $300 million Series C financing that values the air-defense startup at $3.4 billion, money it plans to use to ramp production and keep pushing new product development. The company said the fresh capital is aimed at expanding manufacturing capacity to fulfill current and future contracts while advancing next-generation systems.

The company reported the round was led by DFJ Growth, with participation from Lux, Accel, Lakestar, Never Lift, Ora Global, and Elad Gil & Co.

DFJ Growth Founder and Managing Partner Randy Glein said Cambridge Aerospace is tackling one of modern warfare’s "most pressing challenges": defending against the growing threat of low-cost attack drones. 

He highlighted the company’s affordable and accurate counter-drone technology and said DFJ Growth identified Cambridge as having the strongest team and technology to develop next-generation air-defense infrastructure for Europe and its allies.

The Series C follows an April Series B that brought in $200 million at a $1.3 billion valuation, co-led by Elad Gil & Co and Spark Capital. Since that earlier raise, the company said it has landed multiple deals with the UK Ministry of Defence, including work tied to low-cost interceptors for the UK Armed Forces.

The startup, which was formed less than two years ago, credited its pace to a leadership group that blends engineering and military backgrounds, including CEO Steven Barrett and CCO Chris Sylvan, along with founder Junaid Hussain, according to Cambridge Aerospace. The company said it has more than 250 employees, with about two-thirds in technical and engineering positions, and it also recruits veterans from Allied forces.

Barrett said: "This raise is testament to the incredible work of the entire Cambridge Aerospace team. By bringing together the best talent in the world with a singular mission to protect Allied skies from threats, we have achieved a huge amount already. The addition of these funds will allow us to continue to scale our manufacturing and our delivery to meet the pace of threats, and the needs of Allied nations."

The company has already brought its first product, Skyhammer, to customers and is targeting a 2027 market debut for Starhammer, while maintaining operations beyond the UK in countries including Germany, Poland, Norway, Ukraine and Australia.

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