A British maritime defence company has become the UK’s latest unicorn after raising $175 million (£130m) at a $1 billion valuation.
Kraken Technology Group – not to be confused with Kraken, the technology platform founded within Octopus Energy Group which demerged at the end of last year – is developing uncrewed surface vessels and payload capabilities.
Now rapidly expanding localised manufacturing facilities around the world, the company said its Series B round was led by international investor Digital Transformation Capital Partners (DTCP) and supported by the British Business Bank, NATO Innovation Fund (NIF), Rheinmetall, Inocea Group as well as venture capital firms HICO, Thesiger Capital Group, BOKA Capital, Supernova Invest and Hakluyt Capital.
NIF, the UK’s National Security Strategic Investment Fund (NSSIF), and SmartCap, alongside VCs Notion Capital and Speedinvest, have also now converted to equity following their participation in earlier funding rounds.
Last year Kraken secured several significant contracts from the UK Ministry of Defence, NATO European partners and USSOCOM, with its platforms now deployed in support of multiple ongoing conflicts.
The company also has numerous major manufacturing partnerships to support global supply and localised production presence, including Rheinmetall in Germany, Anduril Industries in the United States and Inocea’s Davie Shipbuilding in Canada. Kraken is soon to announce similar partnerships in both the Middle East and Indo-Pacific regions.
“Kraken is excited to be partnering with DTCP, leading such a prestigious group of European and international investors,” said Mal Crease, founder and CEO of Kraken Technology Group.
“This significant funding round will accelerate Kraken’s global roll-out, enabling the deployment of hardened, reliable, mission-ready capabilities for NATO and its worldwide partners at an unprecedented scale in the maritime domain.”
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Ole Aguirre, partner at DTCP, said: “The maritime domain is profoundly under-invested, and Kraken has taken a leading role in bringing affordable, mission-critical high-speed uncrewed vessels to the market in a very short time.
“Kraken genuinely understands the unique challenges around high-sea-state robotic operations and swiftly responded to NATO requirements, delivering immediate ‘mission-first’ maritime capabilities to secure our waters, our shores and our offshore installations.
“We have high confidence in Kraken and could not be more excited about the opportunities ahead of us.”
PJT Partners acted as exclusive financial advisor and Clifford Chance acted as legal counsel to Kraken in connection with the Series B.