Financial Advisor
Kongsberg Defence & Aerospace
M&A Advisory
Has Agreed To Acquire
Transaction Details
On December 16, 2025, Kongsberg Defence & Aerospace (“Kongsberg”) announced the signing of an agreement to acquire Zone 5 Technologies LLC (“Zone 5”) for an undisclosed transaction value.
Kongsberg will acquire 90 percent of Zone 5, and the management team will remain as minority shareholders. Post-closing, Zone 5 will operate as an independent subsidiary. The transaction remains subject to regulatory approvals and customary closing conditions.
“Zone 5 represents a strong match with Kongsberg’s ambitions of expanding our strike missile portfolio and developing Full Spectrum Air Defence capabilities, while further advancing our presence in the United States. We are impressed with how Zone 5 has been successful in bringing new technologies to the market in fierce competition with the rest of the industry, and we look forward to working with the Zone 5 team,” said Eirik Lie, President of Kongsberg Defence & Aerospace.
About the company
Kongsberg Defence & Aerospace
Kongsberg Defence & Aerospace delivers defence technologies and systems for command and control, surveillance, space, tactical communications, remote weapon stations and strike missiles to customers around the world. Key deliveries include NASAMS air defence, the Naval Strike Missile and Joint Strike Missile and PROTECTOR remote weapon stations. Kongsberg Defence & Aerospace is a wholly-owned subsidiary of Kongsberg Gruppen ASA, which is listed on the Oslo Stock Exchange and 50.1 percent owned by the Norwegian government.
Zone 5 Technologies
Zone 5 is a technology development company founded in 2011 and headquartered in San Luis Obispo in California. The company has about 250+ employees and revenues of more than USD 100m in 2025. The company has been profitable for many years and will be so, also in 2025. Zone 5 offers a range of digitally engineered, low-cost missiles to enable affordable mass and precision strike engagements from a range of aircraft.
Zone 5’s effectors are adapted to changing mission requirements during development, production, and sustainment. The company’s key products include Rusty Dagger – a low cost, versatile strike missile with flexible launch options and demonstrated successful tests, White Spike – a low cost group 3+ affordable air interceptor highly complementary to Kongsberg’s exquisite air defence systems, and Paladin – a low collateral effects interceptor (LCEI), built as a group 2 hexacopter and supports missions such as counter-UAS drone interception, explosive munitions drop, and combatant rifle takedowns.
-
Source: Kongsberg Defence & Aerospace Press Release.
This material has been prepared solely for informational purposes as of its stated date. It is not a solicitation, recommendation or offer to buy or sell any security and does not provide information on which an investment decision to purchase or sell any securities could be based. It does not purport to be a complete description of the securities, markets or developments referred to in this material. Information included in this material was obtained from sources considered to be reliable, but Stephens has not independently verified such information and does not guarantee that it is accurate or complete. No subsequent publication or distribution of this material shall mean or imply that any such information remains current at any time after the date of preparation of this material. Stephens does not undertake to advise you of any changes in any such information. Additional information is available upon request.
“Stephens” (the company brand name) is a leading family-owned investment firm that includes Stephens Inc. (member NYSE/SIPC), Stephens Investment Management Group, LLC, Stephens Insurance, LLC, Stephens Capital Partners LLC and Stephens Europe Limited (Registered office: 12 Arthur Street, London, EC4R 9AB, Registered number 8817024), which is authorised and regulated by the Financial Conduct Authority. © 2025 Stephens.