Kongsberg announces acquisition of Zone 5 for high-volume missile development and production
Kongsberg Defence & Aerospace has announced the acquisition of California-based missile company Zone 5 as the company focuses on development and high-volume production of affordable missiles.
Kongsberg has signed an agreement to acquire Zone 5 Technologies LLC, which designs and produces affordable, mass producible long-range strike and anti-drone missiles, for an undisclosed transaction amount.
The acquisition of Zone 5 is expected to combine the high-performing Kongsberg portfolio and Zone 5’s high-volume assets to provide comprehensive and flexible systems that allow nations to manage complex defence scenarios.
“The acquisition of Zone 5 marks a significant strategic move for Kongsberg. Zone 5 is at the forefront of developing affordable missiles to be produced in high numbers,” said Kongsberg chief executive Geir Håøy.
Notable Zone 5 programs include US Air Force Extended Range Attack Munition, FAMM (Family of Affordable Mass Missiles), and the US Defence Innovation Unit for the flight testing of low-cost kill systems against larger drones.
“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,” said Kongsberg Defence & Aerospace president Eirik Lie.
“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.”
Kongsberg will acquire 90 per cent 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.
“Kongsberg shares Zone 5’s core values of an unwavering commitment to our customers, exceptionally engineered solutions, and valuing our employees who are the foundation of all we do,” said Zone 5 chairman, chief executive and CTO Thomas Akers.
“Our teams look forward to learning from one another as Zone 5 continues to efficiently scale its production capabilities, while remaining the innovative and disruptive growth platform that makes Zone 5 special.”
Late last year, the US government announced that Kongsberg Defence & Aerospace had been awarded a $240 million firm-fixed-price contract for the Joint Strike Missile for the US Air Force.


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