The writing is on the wall: defense-tech unicorns, particularly those focused on loitering munitions, autonomous drones, and counter-UAS systems, are positioned for years of growth as warfare changes forever.
These "war unicorns," as we call them, are increasingly ripe for M&A as larger players race to consolidate across drones and counter-drone systems. The latest example is Nasdaq-listed defense and industrial technology firm Ondas Holdings moving to acquire DZYNE Technologies, a maker of drones, loitering-munition-type systems, and counter-drone technology.
Ondas Drone Box
Bloomberg reports private equity firm Highlander Partners will receive $200 million in cash and about $675 million in Ondas stock. Those shares will be locked up for six months.
"The arms race has started," Ondas CEO Eric Brock said in a Bloomberg TV interview. "Over the last 20 plus years we have de-industrialized in the United States. That means the supply chain has moved to China."
The deal expands Ondas' portfolio beyond the civilian drone market into systems developed for military surveillance and reconnaissance, as well as smaller kamikaze drones.
DZYNE BlitzBox Drone
