Ondas Holdings (NASDAQ:ONDS) will acquire Israel-based Aran Defense for approximately $33 million in cash and stock. The deal values the target at 1.3 times its projected 2026 revenue. Aran Defense expects to generate $26 million in revenue that year. Ondas shares fell nearly 5% in pre-market trading following concerns over potential share dilution.
The acquisition expands Ondas' manufacturing capacity for autonomous defense systems in Israel. Aran Defense operates a 4,400-square-meter engineering and production facility. This site will support the manufacturing of counter-UAS, ISR, and robotic systems. The transaction is expected to close in the third quarter of 2026.