WASHINGTON — AeroVironment, a defense contractor focused on unmanned aerial vehicles, announced Nov. 19 it plans to acquire BlueHalo, also a defense tech company, in a deal valued at approximately $4.1 billion.
AeroVironment has small civil space technology portfolio, making the BlueHalo deal a transformative entry into satellite communications and space-based defense technologies. In 2023 AeroVironment won a $10 million NASA contract for design and development of the Mars Sample Recovery Helicopter flight systems. The company also helped design the Ingenuity helicopter carried by the Mars rover Perseverance, to help demonstrate the viability of aerial robots for planetary exploration.
The acquisition of BlueHalo, unanimously approved by both companies’ boards of directors, is expected to close in the first half of 2025, pending regulatory clearance and AeroVironment shareholder approval.
Both AeroVironment and BlueHalo are based in Arlington, Virginia.
BlueHalo, currently owned by private equity firm Arlington Capital Partners, brings expertise in space-based communications, directed energy, electronic warfare, and missile defense technologies. A key asset is the company’s $1.4 billion U.S. Space Force contract to modernize satellite communication infrastructure.
The contract involves replacing legacy parabolic satellite dishes with advanced electronic phased array antennas, enabling simultaneous tracking of up to 20 satellites—a significant upgrade from current systems that can only monitor one satellite at a time.
Following the acquisition, Arlington Capital Partners will retain a significant ownership stake in the combined entity.
