AV Acquires Empirical Systems Aerospace to Strengthen Electric and Unmanned Aviation Manufacturing

AeroVironment has acquired Empirical Systems Aerospace, expanding its manufacturing capacity for electric propulsion, unmanned aircraft systems, and advanced air mobility platforms. The transaction positions ESAero’s AS9100 certified facilities in California as a center of excellence for rapid prototyping and production within AV’s growing portfolio of autonomous and electric aviation technologies.

Expanding Capabilities in Electric and Hybrid Propulsion

ESAero brings established expertise in electric and hybrid propulsion development, conceptual air vehicle design, rapid prototyping, and full scale manufacturing. The company operates a 32,000 square foot design and prototyping facility and a 53,000 square foot manufacturing site in San Luis Obispo, supported by multiple integration and test locations. These capabilities will enhance AV’s ability to transition from early design to production ready systems, a key requirement as defense customers accelerate demand for next generation unmanned and electric platforms.

AV leadership noted that ESAero’s ability to move quickly from engineering to manufacturing aligns with the company’s focus on delivering mission ready systems across a fast evolving defense technology landscape.

Integrating ESAero Into AV’s Precision Strike and Defense Systems Group

ESAero will operate as a subsidiary within AV’s Precision Strike and Defense Systems group under the Loitering Munition Systems business unit. The integration is expected to support production across AV’s existing lines of loitering munitions, drones, missiles, and adjacent unmanned systems. ESAero’s engineering and manufacturing teams will join AV’s operations following the close of the transaction.

Strengthening AV’s Position Across Autonomous and Electric Aviation

The acquisition follows AV’s purchase of BlueHalo in 2025 and reflects the company’s strategy to build a cohesive suite of capabilities spanning air, land, sea, space, and cyber. ESAero’s experience in electric propulsion, aircraft modification, sub scale demonstrators, and advanced coatings adds depth to AV’s development pipeline and supports the company’s ability to scale manufacturing for emerging defense requirements.

Transaction Details

AV acquired ESAero in a transaction valued at approximately 200 million dollars, consisting of roughly 160 million dollars in stock and the remainder in cash, subject to post closing adjustments. The company expects the acquisition to be accretive to adjusted EBITDA within the first year. ESAero’s leadership and workforce will be integrated into AV’s culture and operations.

About AeroVironment

AeroVironment is a defense technology company developing autonomous systems, loitering munitions, counter UAS solutions, space based platforms, directed energy systems, and cyber and electronic warfare capabilities. The company maintains a national manufacturing footprint and develops mission ready technologies supported by its AI enabled AV_Halo software suite.

About Empirical Systems Aerospace

Empirical Systems Aerospace produces unmanned aerial systems and advanced aerospace technologies for commercial and military applications. The company provides vertically integrated AS9100 certified services in engineering, design for manufacturing, rapid prototyping, testing, and serialized production from its facilities in San Luis Obispo, California.