Eric Trump, U.S. President Donald Trump’s son, is investing in Israeli drone maker XTEND as part of a $1.5 billion deal to take the company public.
XTEND’s drones have been used during Israeli military operations in the Gaza Strip, including in mapping, building exploration and booby-trap neutralization. Some of the drones are marketed as “low cost-per-kill” units.
The U.S. Department of Defense has emphasized the importance and centrality of drones in current and future wars. XTEND says it has clinched a multimillion-dollar Pentagon contract in November for its “one-way” drone kits to be specially built for small tactical teams in “irregular warfare operations.”
The company is now competing for more, with XTEND among 25 companies invited to participate in the department’s first phase of its Drone Dominance Program.
XTEND, which opened a facility in Florida, is merging with JFB Construction as part of the investment deal.
“We are acquiring the resources we need to scale our manufacturing capabilities in the U.S. and gaining access to the U.S. public markets,” by combining with JFB Construction, said Aviv Shapira, co-founder and CEO of XTEND.
XTEND intends to go public through JFB’s Nasdaq listing.
Trump emerged as a strategic investor in the deal, joining his brother, Donald Trump Jr., in the drone sector. The latter is an investor and advisor in Unusual Machines, a separate drone company.
There was no immediate announcement about potential insulation from conflicts of interest, given the younger Trump’s involvement in contracts approved by his father’s government.
