Trump is turning his attention to drones once again.
According to The Wall Street Journal, citing informed sources, the Trump administration is advancing financing agreements with a group of drone companies as part of its efforts to boost domestic U.S. production capacity and reduce costs. These potential agreements follow months of negotiations involving a diverse group of private drone firms and the U.S. Department of Defense. Discussions also include the Office of Strategic Capital, a lending agency established by the Biden administration to provide funding to businesses deemed critical to national security supply chains. Some agreements may involve both debt financing and equity investments, meaning the U.S. government would acquire partial ownership stakes in these companies.
Sources indicate that companies on the Pentagon’s preliminary list for potential funding include Performance Drone Works, which previously won a contract to supply reconnaissance drones to the U.S. Army; drone component supplier $Unusual Machines (UMAC.US)$ , in which Donald Trump Jr., Trump’s eldest son, serves as a shareholder and member of the advisory board; and Neros Technologies, a Sequoia Capital-backed startup focused on developing small first-person-view drones.
Spurred by this news, $Unusual Machines (UMAC.US)$ surged more than 20% in after-hours trading, $Red Cat Holdings (RCAT.US)$ rose over 12%, ...