T3 Defense Inc. (NASDAQ: DFNS) has acquired a 60% stake in Project35, an Israeli developer of drones and counter-UAV systems, to expand its portfolio of mission-critical defense technologies. The acquisition adds heavy-lift cargo drones, VTOL aircraft, AI-guided tactical FPV systems, and an autonomous drone interceptor to T3 Defense's offerings. Project35 serves as a trusted supplier to Israel Aerospace Industries (IAI), ELTA Systems, Rafael Advanced Defense Systems, Elbit Systems, and the Israel Ministry of Defense, providing immediate commercial pathways for the newly acquired platforms.

Transaction Details

Under the terms of the transaction, T3 Defense acquired its stake for 21,059,871 shares of common stock and a 12% promissory note. The note is due one day before the anniversary date in the principal amount of $1,250,000. Project35 expects about $2.4 million in fiscal 2026 revenue after generating approximately $1.4 million in unaudited revenue in 2025. Project35's founding management team will remain in place following the acquisition.

Financial Obligations

As part of the agreement, T3 Defense has a mandatory obligation to deploy $2.5 million directly into Project35's operations over the next 12 months. This capital injection is intended to support commercialization, production expansion, and new customer programs. Chief Executive Officer Menny Shalom stated that the acquisition positions T3 Defense on both sides of the unmanned aerial systems and counter-drone equation, bringing operational, field-deployed platforms validated in successful live-fire testing.

The following table outlines the key financial components of the transaction:

T3 Defense Inc. announced that its subsidiary, Positech Ltd., has secured three separate Heavy-Duty Single-Axis rotator orders totaling $4.9 million from Israeli defense customers. The orders involve the supply of mission-critical equipment embedded in long-cycle national security programs, strengthening the subsidiary's backlog and revenue visibility for the coming fiscal periods.

Order Breakdown and Status

The company reported that an original order valued at $1 million, part of a combined set of orders with a premier Israeli defense integrator, has been completed. The same customer subsequently placed a follow-on order, which is included within the $1 million total figure and is currently moving through the delivery pipeline.

In a separate transaction, Positech Ltd. received a $3.9 million order for a modified version of its Heavy-Duty Single-Axis rotator from a leading Israeli defense customer. This order is currently in active fulfillment, with completion anticipated by Q1 2027.

Operational Impact

These orders underscore the demand for Positech Ltd.'s specialized rotator products within the defense sector. The completion of the initial $1 million tranche and the active progress on the remaining orders demonstrate the subsidiary's operational execution capabilities. The modified rotator order, specifically, highlights the company's ability to customize solutions to meet specific client requirements in complex defense environments.

Product Specifications

Positech's Heavy-Duty Single-Axis rotator is a new product developed from the company's legacy line, serving as the precision positioning foundation for custom radars, surveillance sensors, and electro-optical payloads. The platform delivers torque from 0.5Nm up to 200Nm and rotational speeds of up to 180 degrees per second. It features zero backlash, continuous rotation, and high-accuracy dynamic performance in a modular, gearless architecture.