Shaldag was founded in 1974, in the aftermath of the Yom Kippur War, by Muki Betzer, a Sayeret Matkal veteran, who brought several Matkal veterans with him. Initially operating as a Sayeret Matkal reserve company, it was eventually transferred to the IAF.

Shaldag's mission is to deploy undetected into combat and hostile environments to conduct special reconnaissance, establish assault zones or airfields, while simultaneously conducting air traffic control and commando actions. Shaldag operates from Palmachim Airbase. Shaldag soldiers carry M16 or M4A1 assault rifles fitted with the M203 grenade launcher. For special missions, they carry Glock17 and 19 9mm series pistols and Mauser SR 82/66 sniper rifles.