UAV & Drones
XTI Aerospace Acquires Drone Nerds and Secures 25 Million Investment
XTI Aerospace acquires Drone Nerds and receives a $25 million investment to expand its drone market presence and advance VTOL aircraft development.
In a significant maneuver set to reshape the vertical flight and unmanned aircraft systems (UAS) landscape, XTI Aerospace, Inc. (NASDAQ: XTIA) has officially announced its acquisition of Drone Nerds, LLC. The deal, which closed on November 10, 2025, brings one of the largest Drones distributors in the United States under the umbrella of the company developing the innovative TriFan 600 vertical takeoff and landing (VTOL) aircraft. This Acquisitions is a cornerstone of XTI’s broader Strategy to build a comprehensive presence in what it terms the “Vertical Economy™.”
The strategic importance of this acquisition was immediately underscored by a subsequent major financial transaction. Concurrent with the deal, XTI Aerospace secured a $25 million private placement Investments from Unusual Machines, Inc. (NYSE American: UMAC), a Manufacturers and seller of drone components. This trifecta of events, an acquisition of a profitable market leader, a substantial capital injection, and a strategic alliance, positions XTI Aerospace not just as a developer of future-forward aircraft but as a formidable, multi-faceted player in the rapidly expanding U.S. drone industry.
These moves signal a clear intent to blend long-term, high-tech development with immediate market penetration and revenue generation. By integrating Drone Nerds’ established distribution network and service expertise, XTI diversifies its portfolio and creates a powerful synergy between next-generation aircraft development and the current, thriving drone market. The capital from Unusual Machines provides the fuel necessary to advance these parallel objectives, marking a pivotal moment for the company and the industry sectors it aims to lead.
The recent announcements from XTI Aerospace represent a carefully orchestrated, two-pronged approach to solidifying its market position. The first prong is the strategic acquisition of a revenue-generating powerhouse, while the second is a significant capital investment to fund future growth. Together, these actions provide both immediate market credibility and the long-term financial stability needed to pursue ambitious technological goals. We will break down the specifics of each transaction to understand their full impact.
The acquisition of Drone Nerds was valued at approximately $40 million, a figure that reflects the distributor’s robust financial health and market leadership. The deal was not a simple cash transaction but was structured with a mix of payment forms. The purchase price consisted of $20 million in cash, $11.9 million in promissory notes (which includes working capital adjustments), and $9.7 million in equity consideration. This balanced structure allows XTI to leverage its capital efficiently while aligning the interests of Drone Nerds’ former owners with the future success of the combined entity.
The equity component is particularly noteworthy. It was granted as units of the Drone Nerds subsidiary, which can be exchanged for 6,524,576 shares of XTI common stock after May 1, 2026. This figure represents 19.9% of XTI’s common shares outstanding before the acquisition, indicating a substantial stake and a long-term partnership. It is important to note that no XTI common stock has been issued yet, as this part of the deal is contingent upon shareholder approval, a standard procedural step in transactions of this scale.
Acquiring Drone Nerds provides XTI with more than just a new business unit; it provides an established and highly successful commercial operation. Drone Nerds has a ten-year track record of profitability, generating over $100 million in revenue in 2024 and more than $55 million in just the first half of 2025. This immediate and substantial revenue stream offers a stabilizing counterbalance to the capital-intensive, long-term development of the TriFan 600 aircraft.
“The acquisition of Drone Nerds is a foundational step as we advance our strategy to build the most comprehensive portfolio of vertical flight and UAS capabilities in the industry.” – Scott Pomeroy, CEO of XTI Aerospace.
Immediately following the acquisition, XTI Aerospace closed a $25 million private placement with Unusual Machines, Inc. This investment demonstrates strong market confidence in XTI’s newly expanded strategy. Unusual Machines, known for manufacturing drone components and boasting a strong balance sheet, is not just a passive investor but a strategic partner with deep industry connections and expertise. The investment was structured through the purchase of 25,000 shares of a newly designated Series 10 Convertible Preferred Stock, priced at $1,000 per share. This preferred stock is convertible into XTI’s common stock at a conversion price of $1.492 per share. This mechanism allows the investor to transition their stake into common equity as the company grows, aligning their success directly with that of other shareholders.
However, similar to the equity portion of the acquisition, this conversion is subject to shareholder approval as required by Nasdaq Listing Rule 5635. XTI has stated its intention to begin the proxy process to obtain this approval before the end of the year. This step is critical for fully realizing the investment’s structure and will be a key milestone for the company in the coming months. The transaction was facilitated by ThinkEquity, which served as the exclusive M&A advisor to XTI for the acquisition and as the placement agent for the investment.
The combination of XTI’s futuristic vision, Drone Nerds’ market dominance, and Unusual Machines’ strategic investment creates a vertically integrated entity poised for significant influence. XTI Aerospace, based near Denver, Colorado, has long been focused on developing its flagship TriFan 600, a VTOL aircraft designed to revolutionize both commercial and defense aviation. This acquisition allows the company to ground its ambitious, long-range goals in the tangible, profitable reality of the current drone market.
Jeremy Schneiderman, CEO of Drone Nerds, highlighted the strategic alignment of the deal with national priorities, stating, “We are excited to support their innovative approach to advancing U.S. drone leadership consistent with the June 6, 2025, White House Executive Order on domestic drone development.” He further noted that Drone Nerds “brings deep technical expertise, broad industry reach, and strong alignment with XTI’s advanced aviation vision.” This sentiment underscores that the merger is seen as a synergistic Partnerships rather than a simple corporate takeover.
By joining forces, the companies create a powerful ecosystem. XTI provides the forward-thinking engineering and vision for the future of flight. Drone Nerds offers an extensive distribution channel, a loyal customer base, and deep-seated expertise in drone services and applications. Unusual Machines adds financial backing and a critical role in the supply chain for drone components. This integration allows the new, larger entity to capture value at multiple points in the industry, from manufacturing and development to distribution and service.
In summary, XTI Aerospace has executed a transformative series of strategic moves. The acquisition of the highly profitable Drone Nerds provides an immediate, robust revenue stream and a commanding presence in the U.S. drone distribution market. This move brilliantly complements XTI’s ongoing development of the TriFan 600 VTOL aircraft, diversifying the company’s operations and mitigating the risks associated with long-term R&D projects. The deal is not just about growth but about building a resilient, multi-faceted business.
The concurrent $25 million investment from Unusual Machines serves as a powerful endorsement of this new strategy, providing the necessary capital to fuel both existing operations and future innovation. As XTI moves forward, its next major hurdle will be securing shareholder approval for the stock issuances tied to these deals. If approved, XTI Aerospace will be firmly positioned as a leader in the emerging Vertical Economy, with a unique portfolio that spans from current market-leading drone distribution to the next generation of vertical flight technology.
Question: What was the total value of the Drone Nerds acquisition? Question: Who invested in XTI Aerospace after the acquisition? Question: What is XTI Aerospace’s main development project? Question: Are all parts of the deal finalized?
XTI Aerospace Acquires Drone Nerds, Secures $25 Million in Strategic Move
Dissecting the Deals: A Two-Pronged Strategy
The Drone Nerds Acquisition: A Closer Look
The $25 Million Investment from Unusual Machines
A New Powerhouse in the Vertical Economy
Concluding Section
FAQ
Answer: The acquisition was valued at approximately $40 million, structured with a combination of $20 million in cash, $11.9 million in promissory notes, and $9.7 million in equity consideration.
Answer: Unusual Machines, Inc. (NYSE American: UMAC) made a strategic investment of $25 million in XTI Aerospace through a private placement.
Answer: XTI Aerospace’s flagship project is the TriFan 600, a next-generation vertical takeoff and landing (VTOL) aircraft designed for both commercial and defense applications.
Answer: While the acquisition of Drone Nerds closed on November 10, 2025, the issuance of XTI common stock related to both the acquisition’s equity portion and the conversion of the preferred stock from the investment is pending shareholder approval.
Sources
Photo Credit: Montage
UAV & Drones
PowerLight and Kraus Hamdani Develop Laser-Charged Drones for Infinite Flight
PowerLight Technologies and Kraus Hamdani Aerospace advance laser power beaming to wirelessly charge drones, targeting indefinite flight endurance by 2026.
This article is based on an official press release from PowerLight Technologies.
In a significant development for unmanned aerial systems (UAS), PowerLight Technologies announced on December 16, 2025, that it has successfully completed subsystem testing for a new laser power beaming system. Developed under the PTROL-UAS (Power TRansmitted Over Laser to UAS) program and sponsored by United States Central Command (CENTCOM), the technology is designed to wirelessly charge drones while they remain airborne.
According to the company’s announcement, the system is now transitioning from component development to full system integration. The next phase involves flight testing scheduled for early 2026, utilizing the Kraus Hamdani Aerospace K1000ULE (Ultra Long Endurance) drone as the primary test platform. The ultimate goal of the collaboration is to achieve “infinite flight” capabilities, effectively removing the endurance limitations imposed by traditional onboard battery capacity.
The core of the announcement centers on PowerLight’s proprietary power beaming technology, which functions as a “wireless power line” through the air. The system comprises two primary hardware elements, a ground-based transmitter and an airborne receiver.
The press release details that the ground transmitter is a mobile, autonomous unit capable of delivering kilowatt-class power over distances spanning kilometers. It utilizes active optical tracking to maintain a precise lock on the moving drone. To ensure safety in mixed-use airspace, the system features a multi-layer safety architecture that instantly shuts off the beam if the lock is lost or an obstruction is detected. The company states that the technology has been validated for transmission to altitudes up to 5,000 feet.
On the receiving end, the drone is equipped with a lightweight module weighing approximately six pounds. This receiver utilizes specialized laser power converters to transform the invisible laser light back into electricity, recharging the drone’s batteries during flight. Additionally, the system includes an embedded control module that handles real-time telemetry and a bi-directional optical data link.
“This is much more than point-to-point power transfer… We are building an intelligent mesh energy network capability. Our transmitter communicates with the UAS, tracks its velocity and vector, and delivers energy exactly where it’s needed.”
, Tom Nugent, CTO of PowerLight Technologies
To demonstrate the system’s viability, PowerLight has partnered with Kraus Hamdani Aerospace. The K1000ULE is a fully autonomous, solar-electric UAS already utilized by the US Navy and Army for Intelligence, Surveillance, and Reconnaissance (ISR) missions. While the K1000ULE already boasts significant endurance, capable of flying for over 24 hours continuously on solar and battery power, the addition of laser charging aims to extend this indefinitely. Fatema Hamdani, CEO of Kraus Hamdani Aerospace, emphasized the strategic advantage of this integration in the company statement:
“A platform that doesn’t need to land to refuel or recharge is one that never blinks. Integrating PowerLight’s laser power beaming adds a new level of persistence, reshaping the operational reality of theater-wide missions.”
The “battery problem” remains a primary logistical hurdle for electric military drones, which typically require frequent landings to swap batteries or recharge. This creates coverage gaps in surveillance and increases the logistical footprint required to support drone operations. By enabling mid-air recharging, the PTROL-UAS program aims to close these gaps, allowing for persistent “eyes in the sky” and continuous communication relays in contested environments.
While high-energy lasers in defense are frequently associated with counter-UAS (C-UAS) weapons designed to destroy targets, PowerLight’s application represents a distinct divergence in directed energy strategy. Rather than delivering destructive heat, these systems must deliver stable, continuous energy transfer without damaging the receiving airframe. If successful, this technology could fundamentally alter military logistics. By reducing the need for forward-deployed fuel and battery stockpiles, commanders could maintain persistent aerial coverage with a significantly smaller logistical tail. Furthermore, the concept aligns with broader defense initiatives like DARPA’s POWER program, which envisions a high-altitude “energy web” where aircraft beam power to one another, effectively turning drones into flying energy relays.
Following the successful subsystem testing reported in December 2025, the program is moving immediately into the integration phase. PowerLight Technologies has confirmed that fully integrated flight testing is slated to begin in early 2026. These tests will attempt to demonstrate the system’s ability to keep a K1000ULE airborne and charged solely via the ground-based laser transmitter, validating the concept of indefinite endurance.
PowerLight Technologies and Kraus Hamdani Target “Infinite Flight” with Laser-Charged Drones
Wireless Power at Altitude
The K1000ULE Integration
Strategic Implications and Future Testing
AirPro News Analysis
Next Steps
Sources
Photo Credit: PowerLight Technologies
UAV & Drones
SwissDrones Sells First SDO 50 V3 Unmanned Helicopter in Japan
SwissDrones delivers first SDO 50 V3 turbine drone to Sanwa Gikou in Japan for industrial inspections and disaster logistics.
This article is based on an official press release from SwissDrones.
SwissDrones, a manufacturer of long-range unmanned helicopters systems, has announced a significant expansion into the Asia-Pacific market with the first sale of its SDO 50 V3 aircraft in Japan. The launch customer, Sanwa Gikou Co., Ltd., a specialized civil engineering firm based in Kitakyushu, intends to utilize the heavy-lift drone for industrial inspections, disaster response, and logistics across the Kyushu, Yamaguchi, and West Shikoku regions.
According to the company’s announcement, the transaction was facilitated by HIEN Aero Technologies, the strategic partner and distributor for SwissDrones in Japan. This acquisition marks a pivotal moment for Sanwa Gikou as it establishes a new “Large Drone Business” division, aiming to leverage autonomous aviation to address regional labor shortages and infrastructure maintenance challenges.
Sanwa Gikou, traditionally known for pipe rehabilitation and specialized industrial coatings, is diversifying its operations to include advanced aerial capabilities. The company plans to deploy the SDO 50 V3 for a variety of critical missions, including aerial surveillance, search and rescue (SAR), and the inspection of vital assets such as pipelines and bridges.
In a statement regarding the acquisition, Sanwa Gikou leadership emphasized the potential for integrating air and land logistics.
“The SDO 50 V3 provides new opportunities to strengthen regional public services… and explore innovative air–land integrated models.”
Isao Umebayashi, President of Sanwa Gikou Co., Ltd.
The deployment is closely tied to the “Regional Collaboration & Future Hybrid Logistics Council,” an initiative aiming to create a resilient supply chain network. By combining ground transport with high-capacity drones, the council hopes to ensure the delivery of essential supplies to isolated villages and mountainous areas, particularly during natural disasters when roads may be impassable.
The SDO 50 V3 distinguishes itself from common battery-powered quadcopters through its turbine-based propulsion and intermeshing twin-rotor design (Flettner system). Designed for heavy industrial use, the aircraft runs on Jet A1 fuel, allowing for rapid refueling and extended operational uptime compared to battery-dependent systems. According to technical specifications released by SwissDrones, the SDO 50 V3 offers the following capabilities:
HIEN Aero Technologies will oversee the importation, pilot training, and ongoing technical support for the aircraft, ensuring compliance with Japanese aviation standards.
The timing of this acquisition aligns with broader socio-economic shifts in Japan, specifically the “2024 Problem”, a term referring to the critical labor shortages in logistics and construction due to an aging population and stricter overtime regulations. The Japanese government has responded by updating the Civil Aeronautics Act to allow “Level 4” autonomy, which permits fully autonomous flights beyond visual line of sight over populated areas.
This regulatory framework is essential for the commercial viability of long-range drones like the SDO 50 V3. By automating inspections and emergency transport, companies like Sanwa Gikou aim to maintain infrastructure integrity and public safety with fewer human personnel.
The Turbine Advantage in Complex Terrain
While battery-electric VTOLs (eVTOLs) often dominate the headlines, the sale of the turbine-powered SDO 50 V3 highlights a persistent gap in the market: energy density. For missions in Japan’s Kyushu and Shikoku regions, characterized by steep mountains, heavy winds, and scattered islands, battery technology often struggles to provide the necessary range and payload endurance.
We assess that the choice of a turbine helicopter is a pragmatic decision for Sanwa Gikou. The ability to refuel in minutes rather than recharge for hours is a decisive factor for disaster relief scenarios where every minute counts. Furthermore, the Flettner rotor design provides superior stability in high winds compared to traditional tail-rotor helicopters or multi-copters, making it uniquely suited for Japan’s coastal environments. This deal suggests that despite the push for electrification, liquid-fuel systems remain the superior choice for heavy-duty, long-endurance industrial aviation in the near term.
What is the primary use for the SDO 50 V3 in Japan? Who is the manufacturer of the drone? What makes this drone different from standard battery drones?
SwissDrones Secures First Japanese Buyer for SDO 50 V3 Unmanned Helicopter
Strategic Deployment for Civil Engineering and Safety
Technical Capabilities: The SDO 50 V3
Key Performance Metrics
Market Context: Japan’s “2024 Problem”
AirPro News Analysis
Frequently Asked Questions
Sanwa Gikou will use the aircraft for infrastructure inspection, disaster response, search and rescue, and emergency logistics in the Kyushu and Yamaguchi regions.
The drone is manufactured by SwissDrones, a company based in Zurich, Switzerland, specializing in unmanned helicopter systems.
The SDO 50 V3 is powered by a turbine engine using jet fuel, which allows it to carry heavier loads (40kg+) and fly longer (3+ hours) than most battery-powered equivalents.
Sources
Photo Credit: SwissDrones
UAV & Drones
Rotron Aerospace and LIG Nex1 Sign Deal to Develop Next-Gen UAVs
Rotron Aerospace and LIG Nex1 partner to co-develop hybrid VTOL UAV platforms for South Korea’s Army, emphasizing heavy-fuel rotary engine tech.
This article is based on an official press release from Rotron Aerospace and LIG Nex1.
On December 9, 2025, UK-based propulsion specialist Rotron Aerospace and South Korean defense prime LIG Nex1 formalized a significant strategic partnership. Signed at Rotron’s headquarters in Dorset, United Kingdom, the Memorandum of Understanding (MoU) establishes a long-term collaboration aimed at co-developing next-generation unmanned aerial vehicle (UAV) platforms. The agreement, which remains valid until 2032, focuses primarily on the Medium UAV Common Platform (MUCP), a tactical hybrid drone program designed for the Republic of Korea Army (RoKA).
According to the joint announcement, this collaboration leverages the specific strengths of both nations’ defense industries. Rotron Aerospace will supply its advanced heavy-fuel rotary propulsion systems, while LIG Nex1 will lead the system architecture, platform integration, and overall program management. The deal underscores the deepening defense ties between the United Kingdom and South Korea following the 2023 Downing Street Accord.
The centerpiece of this agreement is the MUCP, a hybrid Vertical Take-Off and Landing (VTOL) drone intended for Intelligence, Surveillance, and Reconnaissance (ISR) missions. LIG Nex1, having been awarded the tender by South Korea’s Defense Acquisition Program Administration (DAPA) in August 2024, is moving rapidly toward flight testing, which is expected to commence in 2026.
The platform utilizes a hybrid configuration featuring four fixed rotors for vertical lift and a single pusher propeller for forward flight. This design eliminates the need for runways while maintaining the endurance and speed associated with fixed-wing aircraft. According to technical specifications released regarding the program, the MUCP targets a Maximum Take-Off Weight (MTOW) of approximately 340 kg and a payload capacity of 30 kg.
Rotron’s contribution is critical to the platform’s performance. The company specializes in Wankel-type rotary engines, which are favored in the UAV sector for their high power-to-weight ratio and low vibration profiles, essential characteristics for stabilizing sensitive ISR sensors. Crucially, Rotron has engineered these engines to operate reliably on heavy fuels such as JP-8 and Jet-A1, meeting the NATO Single Fuel Policy requirements that simplify military logistics.
“Rotron is proud to partner with LIG Nex1… This agreement reflects our commitment to delivering high-performance propulsion and aviation systems that enhance the capability, reliability, and operational reach of next-generation unmanned platforms.”
Gilo Cardozo, CTO & Founder, Rotron Aerospace
While the immediate focus is the domestic South Korean market, both companies have explicitly stated their intention to target global exports, specifically within the Pacific Rim and Europe. The partnership allows LIG Nex1 to secure a sovereign supply chain for critical propulsion components while providing Rotron access to major Asian defense markets. Yoon Kwan-seob, Vice President of Aerospace & Drone Business at LIG Nex1, highlighted the synergy between the two firms in a statement regarding the signing:
“By combining our experience in integrated system development with Rotron’s leading propulsion technologies, we aim to advance the Medium UAV Common Platform and expand opportunities for both domestic Republic of Korea programmes and international exports.”
Yoon Kwan-seob, VP of Aerospace & Drone Business, LIG Nex1
The selection of Rotron for the MUCP program highlights a persistent engineering bottleneck in the tactical UAV sector: the heavy-fuel requirement. While battery technology has improved, it still lacks the energy density required for the 5+ hour endurance missions targeted by the MUCP. Furthermore, traditional piston engines often struggle with the combustion characteristics of heavy military fuels like JP-8, particularly in smaller form factors.
By integrating Rotron’s rotary technology, LIG Nex1 appears to be prioritizing reliability and logistical commonality over the simplicity of electric-only systems. This hybrid approach, using electric lift for VTOL and heavy-fuel combustion for cruise, is becoming the standard architecture for modern tactical drones (Group 3 UAVs) that require runway independence without sacrificing range.
Sources: Satellite Evolution Group
Rotron Aerospace and LIG Nex1 Sign Strategic Deal for Next-Gen UAV Propulsion
The Medium UAV Common Platform (MUCP)
Propulsion Technology
Strategic Implications and Export Goals
AirPro News Analysis
Sources
Photo Credit: Satellite Evolution Group
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