Founded by former Palantir executives, the Amsterdam startup plans to acquire established industrial companies rather than build new defense technology from scratch.
Onodrim Industries has raised $300 million in a Series A led by Lux Capital, reaching a $1.3 billion valuation just months after announcing its seed financing.
General Catalyst, Lakestar, Altimeter, Strike Capital, 137 Ventures, 8090 and Expeditions also participated in the round, announced November 9.
The investment follows a $45 million seed round earlier in 2026.
Unlike most defense technology startups, Onodrim is not primarily developing a new drone, missile or software platform.
Its strategy is to acquire controlling stakes in established European aerospace, defense and industrial manufacturing companies, then help those businesses expand production using capital, engineering and technology.
Buying Industrial Capacity Instead of Building It
Europe's defense industry faces a difficult problem.
Military spending and equipment orders have increased, but many manufacturers still operate with limited capacity, fragmented supply chains and outdated systems.
Onodrim believes the fastest way to address those constraints is to acquire existing suppliers rather than create entirely new manufacturers.
The company plans to take long-term controlling positions in businesses that produce strategically important components, services and technologies.
Once acquired, those companies can access Onodrim's engineering teams, operational expertise and commercial network.
The ambition is to help smaller suppliers win larger contracts and increase their manufacturing capabilities.
Its first acquisitions are expected to be announced in the coming months.
Three Founders With Palantir and Investment Experience
Onodrim was founded by Aistis Šimaitis, Alexander Blessing and Christian Garrett.
Šimaitis, the CEO, previously worked at Palantir and advised the Lithuanian government.
Blessing, the CTO, also worked at Palantir as a forward-deployed engineer.
Garrett is a partner at venture capital firm 137 Ventures.
The company operates from Amsterdam, London and Vilnius, with additional offices planned in Munich and Turin.
A Different Kind of Defense Technology Company
Onodrim's model combines aspects of private equity, industrial holding companies and technology-driven operating businesses.
The approach has similarities to consolidation strategies in other fragmented industries, but Onodrim says it intends to hold and grow businesses over the long term.
That distinction matters because its success will depend less on developing a single breakthrough product and more on buying, integrating and improving industrial companies.
The $300 million round gives Onodrim significant acquisition capital.
But the company has not yet disclosed completed acquisitions, combined portfolio revenue or operating margins.
Investors are effectively underwriting its ability to identify valuable European suppliers and modernize them into larger industrial businesses.
At a $1.3 billion valuation, Onodrim is already being priced as a potentially significant participant in Europe's defense industrial expansion, before demonstrating the results of its acquisition strategy.
Sources: Company announcement · Financial Times