Construct Capital

Rachel Holt joined Sam Lessin, Josh Wolfe, Scott Belsky, Scott Stanford, and Peter Deng for a special guest episode of the More or Less podcast this week. In physical AI, and in industrials, the data looks fundamentally different than in the digital world. Much of the most valuable data is still sitting offline, trapped in machines and legacy systems that lack connectivity. That means there isn’t a massive, readily available for hyperscalers to consolidate. It gives startups a chance to gain distribution before the hyperscalers can even get access to it. The opportunity belongs to the companies starting now: going into Foundational Industries, bringing that data online, connecting it across systems, and building the workflows and distribution around it. The next generation of physical AI companies are poised to win because they’re not just building on the data layer. They’re creating it. Full episode here: https://lnkd.in/ev_SMY7W

We made the Inc. 5000. 🎉 For the first time, Veho has been named to the Inc. 5000, recognizing America’s fastest-growing private companies. What makes this recognition especially meaningful is that the ranking is based on revenue growth. Our growth reflects a simple belief we’ve had from the beginning: delivery can and should be a better experience for brands and their customers. Every market launched, package delivered, client won, product built and problem solved has helped get us here. This recognition belongs to our team, our driver partners, our clients and everyone who has trusted Veho to help make delivery better 🧡  We’re proud of how far we’ve come, but we’re nowhere near done 🚀 Inc. Magazine

We're thrilled to announce that Grace Jung has joined the team at Construct as our Office Manager and Executive Assistant. As an administrative operator with a track record of building structure and systems across venture capital, government, and hospitality, Grace will be supporting our partners and keeping the team organized, efficient, and focused as we continue to back companies revitalizing foundational industries. Welcome, Grace!

We're proud to announce over $10 million in contracts with the Air Force Research Laboratory to advance low-cost, large aircraft at scale. Since 2022, Swarm has been quietly refining a new approach to manufacturing composite aircraft at scale, making it possible to produce aircraft at high volume at a fraction of the cost of comparable platforms. The result is a kind of affordable mass production never before seen in modern aerospace. The implications extend well beyond a single platform. Read more in this Tectonic exclusive by Barratt Dewey and our press release: https://lnkd.in/eepTmupW https://lnkd.in/eYsFihQb

Today, Hadrian is announcing our Series D: $1.37 billion in new capital at a $7.87 billion valuation to Reindustrialize America. Thank you to all our investors. WCM Investment Management, Washington Harbour Partners LP, Valor Equity Partners, 137 Ventures, and Baillie Gifford led the round. JPMorganChase's Strategic Investment Group acted as anchor co-lead, investing through the firm's Security and Resiliency Initiative. The round also included major participation by 1789 Capital, as well as participation from Morgan Stanley Wealth Management, Apollo Global Management, Inc., T. Rowe Price, Andreessen Horowitz, Founders Fund, Lux Capital, Altimeter, CapitalG, Construct Capital, and existing investors. This round confirms our belief in a few simple things: America needs to Reindustrialize, Physical AI is real, transforming the world of atoms matters 100x more than the world of bits, and, most importantly, that the New American Workforce is the center of everything we do. We're significantly increasing the equity stake of technicians at Hadrian. As the country reindustrializes a trillion dollars worth of capacity, we intend to build a company that works for everyone. It's been a big year, and there’s even more ahead. We launched F3 in Arizona, announced F4 in Alabama as a $2.4 billion public/private investment, and began work with the Army on depot operations at Red River in Texas. Factories as a Service is booming. Opus, our physical AI platform for manufacturing and supply chain autonomy, is being utilized across the Primes and Services to address the industry’s toughest challenges: legacy TDPs, digital twins, factory management, embedded automation and more. We’re growing rapidly. We've been building out new capabilities, and are moving quickly across autonomous welding, inspection, energetics, casting, forging, assembly & integration, electronics, additive, sheet metal, pipe & tube, NDT,  and more. We're expanding internationally, with small teams across Australia, NATO, the UK, and Asian allies like the ROK and Japan. And we're expanding our footprint domestically too, with a new HQ in LA and an SF R&D hub to be announced. We’re partnering up with the best of the best. To scale across critical areas like Munitions, we're integrating the top advanced manufacturing startups and companies into Opus and Factories as a Service to ensure customers get the best solutions for their needs. Ten teaming agreements already signed with some of the most impressive companies in the space. All this is to say: it’s time to build. If you want to do the hardest work of your life, creating American jobs rather than destroying them, we need you: hadrian.co/careers

Five+ years ago, investing in a company building factories with automation and AI was literally a dream for the future, so after meeting Chris Power over Zoom during the pandemic we asked ourselves if we aren’t getting on board here, what are we doing at Construct Capital? We got on board. Congrats to Chris and the entire Hadrian team who announced its $1.37B Series D today. Hadrian is one giant step closer to its mission to deliver the "factory as the product"—an automated, physical AI-driven, full actualization of a vision for the next 100 years of industrial progress in the US. It’s a true techno-industrial company, one of the only instantiations of physical AI, and one of the only software automation platforms for manufacturing that actually works. Chris’s big realization back then was not just that the industrial base could not meet the large wave of demand brewing on the horizon  but also that this demand could not be satisfied simply by reinvigorating, modernizing, or otherwise somehow improving existing suppliers. The supply side of the equation had already massively contracted and the machine shop owners set to retire over the coming decade were not set up to invest in technology -- and forget integrating phsyical AI into these older systems. Hadrian is not and never was simply building another manufacturer, a supplier, automation of  on onesie-twosie parts, or a project with great payback or unit economics (but they have that too!). That is not how you capture a tsunami of demand, modernize our industrial base and fill a huge gap in industrial capacity. His vision was to rebuild that foundation from the ground up. Just as importantly, they're proving that rebuilding American manufacturing isn't only about new facilities, it's about creating new opportunities for people. By bringing physical AI to the factory floor, Hadrian is enabling productivity to compound and attracting a new wave of the workforce to this sector, putting them to work in a fraction of the time it used to take to train a machinist. Finally, it’s one thing to see an amazing leader like Chris emerge.  But the future becomes so real you can taste it when you see an executive team force-of-nature click into place to scaffold out this effort—Chris Baker, West Owens, Ashley Boizelle, Lars Lider, Mike Manazir and so many others. It's been an honor to serve on the board and watch this company grow from an ambitious vision into one of the defining companies shaping the future of American manufacturing. https://lnkd.in/epvhmjiA

Today, Hadrian is announcing our Series D: $1.37 billion in new capital at a $7.87 billion valuation to Reindustrialize America. Thank you to all our investors. WCM Investment Management, Washington Harbour Partners LP, Valor Equity Partners, 137 Ventures, and Baillie Gifford led the round. JPMorganChase's Strategic Investment Group acted as anchor co-lead, investing through the firm's Security and Resiliency Initiative. The round also included major participation by 1789 Capital, as well as participation from Morgan Stanley Wealth Management, Apollo Global Management, Inc., T. Rowe Price, Andreessen Horowitz, Founders Fund, Lux Capital, Altimeter, CapitalG, Construct Capital, and existing investors. This round confirms our belief in a few simple things: America needs to Reindustrialize, Physical AI is real, transforming the world of atoms matters 100x more than the world of bits, and, most importantly, that the New American Workforce is the center of everything we do. We're significantly increasing the equity stake of technicians at Hadrian. As the country reindustrializes a trillion dollars worth of capacity, we intend to build a company that works for everyone. It's been a big year, and there’s even more ahead. We launched F3 in Arizona, announced F4 in Alabama as a $2.4 billion public/private investment, and began work with the Army on depot operations at Red River in Texas. Factories as a Service is booming. Opus, our physical AI platform for manufacturing and supply chain autonomy, is being utilized across the Primes and Services to address the industry’s toughest challenges: legacy TDPs, digital twins, factory management, embedded automation and more. We’re growing rapidly. We've been building out new capabilities, and are moving quickly across autonomous welding, inspection, energetics, casting, forging, assembly & integration, electronics, additive, sheet metal, pipe & tube, NDT,  and more. We're expanding internationally, with small teams across Australia, NATO, the UK, and Asian allies like the ROK and Japan. And we're expanding our footprint domestically too, with a new HQ in LA and an SF R&D hub to be announced. We’re partnering up with the best of the best. To scale across critical areas like Munitions, we're integrating the top advanced manufacturing startups and companies into Opus and Factories as a Service to ensure customers get the best solutions for their needs. Ten teaming agreements already signed with some of the most impressive companies in the space. All this is to say: it’s time to build. If you want to do the hardest work of your life, creating American jobs rather than destroying them, we need you: hadrian.co/careers

We recently hosted our inaugural Construct Founders Summit at the Officers’ Club in the Presidio, bringing together our portfolio founders building across the most foundational industries of our economy. Foundational Industries are growing at warp speed and we strived to provide practical, no-BS insights that our founders can immediately put to work—from navigating high-stakes deals and selling into government, to building exceptional products and world-class go-to-market teams. Operators who have scaled massive organizations, teams, and outcomes shared their thoughts with us: Jeanne Grosser on GTM systems, Trae Stephens on scaling in atypical venture markets, Yuhki Yamashita on world-class products, Ed Batista on culture-building, Dennis Cinelli on high-stakes deals, and William Schlacks on the journey to IPO. Our founders span multiple locations throughout the US, with many coming not only from the Bay Area but also from LA, New York, Boston, and Europe. As more late-stage capital flows into Foundational Industries, the need for collaborative sessions for founders building at the early stages is more important than ever; making small decisions at the early stages can drastically affect the direction of a company in later years. This is where we focus, and we loved getting everyone together in one room. We’re honored to be a part of our founders’ journeys as they build the next generation of companies reindustrializing our world. Thank you to all of our sponsors, WithCoverage, Cooley LLP, Andersen Tax & Legal, Aduro Advisors, and PwC, for helping make it all happen.