Tekever, a European company developing AI-powered autonomous drones for defense and surveillance, has raised $580 million in the first close of a Series D round at a $6.4 billion valuation.
UC Investments, which manages investments for the University of California, and Scottish investment firm Baillie Gifford led the round, Tekever said Tuesday, noting the investment marks UC Investments' first direct investment in Europe. Merlyn Advisors joined as a new investor, while existing backers Crescent Cove, Ventura Capital and Iberis Capital also participated.
Tekever said the first close covers most of the planned Series D. It expects more closings in the coming months as new strategic investors join, but did not say how much it plans to raise in total.
The company said it will use the funding to expand internationally, increase its manufacturing and technology capabilities and make acquisitions.
"This investment gives us the resources to move faster, scale further and continue building a global technology leader from Europe," Tekever founder and CEO Ricardo Mendes said.
Tekever's AI drones and defense systems
Tekever develops AI-based autonomous aircraft for surveillance, intelligence gathering and other defense and security uses. The company said it develops its drones, software, sensors and other systems itself.
Its technology is used for both military and civilian purposes, including border and maritime surveillance, search and rescue, and detecting wildfires, floods and oil spills.
Tekever has also supplied drones used in Ukraine. The company said last year that its systems had completed more than 10,000 combat flight hours in the country.
The first close of the Series D round marks a sharp increase in Tekever's valuation. A funding round announced in May 2025 valued the company at more than £1 billion and made it a unicorn. That round was backed by Ventura Capital, Baillie Gifford, NATO Innovation Fund, Iberis Capital and Crescent Cove. Tekever did not disclose the size of that round.
Earlier, the company raised €70 million in a Series B led by Baillie Gifford, with backing from NATO Innovation Fund and the UK government's National Security Strategic Investment Fund.
UK defense contract
The funding follows Tekever's selection by the UK Ministry of Defence to deliver CORVUS, a new surveillance capability for the British Army.
The program could be worth up to £400 million over 10 years. It is based on Tekever's AR5, a fixed-wing unmanned aircraft designed for longer surveillance missions.
Tekever said CORVUS will combine the aircraft with AI-based autonomous technology and will be developed and updated in the U.K.
Former UK Defence Secretary Ben Wallace, now a portfolio manager at Merlyn Advisors, said Europe's security will increasingly depend on companies that can develop technology quickly and manufacture it at scale.
"Tekever has a proven track record that shows it can do all three," Wallace said.
European defense startups raise bigger rounds
Tekever's funding comes as investors put more money into European startups building drones, autonomous systems and military software.
German drone maker Quantum Systems raised $1.2 billion at a valuation of about $8 billion in July. Its valuation was around eight times higher than a year earlier. Later that month, Munich-based defense AI company Helsing raised $1.8 billion at an $18 billion valuation.