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Veyrk Industries — Seed
In Conversation Seed  ·  StoryHouse Fund II
Dossier generated 2026-07-08 by /deal-dossier  ·  Deal record: rec1vENlXb3fIuAgt  ·  Source: Airtable appjxAR3LPe3fkHOp

One-Liner & Thesis

Veyrk is building low-cost kinetic counter-drone interceptors that plug into existing detection and tracking systems rather than trying to own the full sensing stack. The wedge is deliberately narrow: instead of competing with Anduril/Epirus on integrated systems or with Raytheon on high-end effectors, Veyrk targets the disposable, per-shot economics that the DoD and civil-security buyers keep telling analysts is missing from the current stack.

Validation signals are still early — self-funded $500K, no first government contract yet, prototype demonstrations pending — but the founders (Jake Sullivan, Greg Valentin) are Portland-based HMC alumni with prior defense-adjacent operating experience (Flex Force Enterprises, Radio Hill Technologies), and the deal has been in SH's pipeline since Oct 2024 with sustained engagement through mid-2026. SH is being asked to lean into a $2–10M seed in H2 2026 pointing at a Series A once government contracts and prototypes validate the platform.

Investment Score & Recommendation

62/ 100
HOLD

Timing is the driver: counter-UAS is a $14B market in 2026 growing ~22% (Web), and cheap kinetic interceptors integrated with existing detection stacks is one of the few underserved corners. The drag is pre-revenue, capital-intensive hardware in a category where primes (Raytheon, Lockheed) and well-funded startups (Anduril, Epirus) are already deep — Veyrk needs a real government contract before the seed is de-risked.

Momentum: Steady Red flags: 2 / 9 Confidence: Medium
Market & TAM8/10
25% weight
Team & Founder6/10
25% weight
Product & Traction5/10
20% weight
Deal Terms6/10
20% weight
VC Syndicate5/10
10% weight

Deal

Funding Round
Seed (planned H2 2026, $12M target)
Round Size
$2–10M seed (self-funded $500K to date)
Fund
StoryHouse Fund II
Lead Investor
Undecided
Exit Thesis
Strategic acquisition by primes (Raytheon, Lockheed, L3Harris)

Company Snapshot

Sector
Deeptech · Defense · Security
Location
Portland, Oregon
Website
veyrk.com
Year Founded
2024
Status
Private

Market Size

$14.4B
Counter-UAS TAM (2026)Web
→ $55B by 2034
22.4%
CAGR (2026–34)Web
$1.6B
Interceptors Sub-SegmentWeb
$6.3B by 2036
Very Early
TimingWeb

The counter-UAS category is one of the fastest-growing defense segments — Fortune Business Insights and Meticulous Research both put 2026 TAM at $14B+ with 22%+ CAGR (Web). North America drives 31% of spend (Web), and the interceptor sub-category alone is a $1.6B market growing 14.6% CAGR through 2036 (Web). The tailwind is durable: drone incidents at US bases, ports, and stadiums keep climbing, and Ukraine has made per-shot cost the dominant procurement metric.

Competition

PlayerPositioningFunding / StageEdge vs. them
Veyrk IndustriesLow-cost kinetic interceptors, sensor-agnosticPre-Seed / Prototype
AndurilFull-stack Lattice + Anvil interceptor + RoadrunnerPrivate, ~$14B valuationAnduril owns integrated systems; Veyrk plays underneath as low-cost effector plug-in
EpirusHigh-power microwave (Leonidas)$620M raisedDifferent physics (HPM vs. kinetic); complementary layer not direct competitor
Raytheon Coyote / RTXPrime-tier interceptorsPublic primeRaytheon per-shot is $50K+; Veyrk plays the sub-$10K disposable role
D-Fend / DroneShieldRF & jamming counter-UASPublic / Series CDetection-side; Veyrk sells to them as the kinetic effector

Moat: The moat has to come from (1) the DoD/DHS contract vehicles Veyrk can land in the next 18 months and (2) unit-economics discipline that primes and well-capitalized startups won't chase. Software integration with third-party detection stacks is table stakes; the durable defense is a manufacturing cost curve competitors can't match once volume kicks in.

Traction

$500K
Self-Funded to DateInternal
Prototype
Product StageInternal
Pre-Revenue
ContractsInternal

Exit Potential

Strategic M&A
Likely Path
6–9 yr
Time to Liquidity
10–20x
Return ScenarioInternal

Named acquirers in the founders' own thesis are the primes (Raytheon, Lockheed, L3Harris). Recent counter-UAS M&A comps: RTX has been consolidating its Coyote line, and Shield AI acquired Sentient Vision Systems (2024). Anduril's roll-up of Blue Force Technologies and Adranos points at an emerging non-prime consolidator with hardware-heavy appetite (Web). At a $50–100M seed-implied valuation and a probable Series A at $150–250M, the payoff math works if Veyrk lands a program-of-record within 4 years.

Founders

Jake Sullivan
Co-Founder, President
Portland-based operator, HMC alum. Prior roles at Bridge City Risk Management, Flex Force Enterprises (defense adjacent), and Radio Hill Technologies. Brings the ops discipline and defense-buyer network.
Greg Valentin
Co-Founder
HMC alum, prior investor/advisor at Oregon Venture Fund and operator at Flex Force Enterprises. Brings capital-markets and defense-industry relationships to a first-time hardware venture.

Open Questions & Risks

Next Steps

Latest Meeting Notes

2026-07-01 Deal Call H2 2026 seed shaping up, still pre-contract

Latest check-in with the founders confirming they intend to close a $2–10M seed in H2 2026 and are aiming for a first government contract as the trigger.

Source: Meeting Notes recBCQ4RSRw4XTKdR
2026-02-24 Deal Notes Progress update ahead of raise

Written update from the team on prototype and buyer progress. Mostly informational; not a call.

Source: Meeting Notes recpKaaR00aQ7siSf
2025-10-01 Deal Call Positioning below primes, above detection vendors

Positioning discussion — Veyrk explicitly is not trying to be a full-stack system; it wants to be the kinetic effector inside someone else's architecture.

Source: Meeting Notes recTFm9UOzWUrUp1K

Deal Timeline