Draganfly stock soared on Thursday after the drone maker entered an agreement with a U.S. defense contractor.
Canada-based Draganfly on Thursday announced it executed a formal agreement with Global Ordnance, a prime contractor for the U.S. Defense Logistics Agency. Per the deal, Global Ordnance will serve as a U.S. defense partner for Draganfly's line of unmanned aerial systems and other drone solutions.
The two will also collaborate to accelerate U.S. defense adoption of Draganfly's platforms, embed manufacturing and support the supply chain, as well as integrate mission-specific capabilities tailored to defense applications for the U.S. and its allies.
"We are thrilled to join forces with Global Ordnance as a leading defense provider," CEO Cameron Chell said. "Their track record in U.S. defense, logistics, and mission support complements Draganfly's capabilities in advanced autonomy systems and defense-grade UAS manufacturing."
Prime contractors are companies with direct government contracts that may subcontract manufacturing or other operations.
Draganfly, U.S. Army Contract
Draganfly at the end of September announced the U.S. Army awarded it a contract to provide Flex First Person View (FPV) drones
Under the initial order, Draganfly will deliver Flex FPV drones designed for high-performance operations and help establish on-site manufacturing within overseas U.S. Forces facilities to accelerate deployment and reduce the supply-chain timelines.
Draganfly will also provide flight and manufacturing training that will enable the Army to sustain operations, and will manage logistics to ensure secure supply-chain practices.
Draganfly did not provide financial details about the contract in the release.
The company's Flex FPV System comes in three sizes and is capable of carrying payloads of 1.2 to 6.6 pounds with a top speed of 90 miles per hour, according to its website.
Draganfly Stock
DPRO stock rallied 18% Thursday, pushing to its highest level since December 2023.
Shares on Sept. 30 scored a breakaway gap above a 7.30 buy point for an 11-week cup base.
Draganfly is extended and up nearly 230% this year.
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