Covenant reaches $1 billion valuation with Anthem missile unveiling

American defense startup Covenant has emerged from two years of secrecy, achieving a valuation of over $1 billion following significant investment from firms including Andreessen Horowitz, Founders Fund, and Lux Capital. The company has raised more than $250 million to support the development and production of its Anthem missile, a ground-launched cruise missile designed for high-volume, low-cost manufacturing.

The Anthem missile is engineered to carry payloads exceeding 200kg and is intended to complement existing long-range systems like the Tomahawk. The propulsion system utilizes a solid rocket booster for the boost phase and a heavy fuel jet engine during cruise. Following more than 200 successful flights, including a collaborative test in Morocco with U.S. and Moroccan military personnel, the company is moving toward mass production.

Covenant plans to begin serial production in the first quarter of 2027 at a new facility in Dallas, aiming for a capacity of 5,000 missiles per year. The company also intends to establish similar high-capacity facilities in Germany and Israel. Currently, Covenant has secured approximately $150 million in orders and has pre-signed long-term contracts for jet engines to mitigate supply chain bottlenecks.