Unusual Machines Acquires Upgrade Energy for $52M
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6 hours ago
0mins
Should l Buy UMAC?
Unusual Machines announced it has signed a definitive agreement to acquire DroneNX LLC, which operates as Upgrade Energy, a manufacturer of battery and power systems solutions for unmanned aerial systems. The transaction is valued at approximately $52M and is expected to consist of a combination of cash and stock consideration, including a performance-based earnout. "Batteries are a foundational part of drone power systems and have a huge impact on performance and reliability," said Allan Evans, CEO of Unusual Machines. "Upgrade Energy adds the best battery and power systems expertise we have worked with. In addition to the battery expertise, Matt and the entire Upgrade team share our culture, attitude, and represent a huge windfall in terms of adding talent to our workforce."
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Analyst Views on UMAC
Wall Street analysts forecast UMAC stock price to rise
3 Analyst Rating
3 Buy
0 Hold
0 Sell
Strong Buy
Current: 13.420
Low
16.00
Averages
18.67
High
20.00
Current: 13.420
Low
16.00
Averages
18.67
High
20.00
About UMAC
Unusual Machines, Inc. is engaged in manufacturing and selling drone components and drones. The Company's products are sold across a diversified brand portfolio, such as Fat Shark. The Company also retails small, acrobatic first-person-view (FPV) drones and equipment directly to consumers through the curated Rotor Riot e-commerce store. Fat Shark is engaged in designing and manufacturing ultra-low latency video goggles for drone pilots and Rotor Riot. Rotor Riot is an e-commerce marketplace, backed by a community of FPV drone pilots. Fat Shark makes drone components and Rotor Riot sells them. It also develops electric motors and propulsion systems for unmanned aerial systems (UAS).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Unusual Machines Acquires Upgrade Energy for $52 Million
- Acquisition Overview: Unusual Machines has announced a definitive agreement to acquire Upgrade Energy for approximately $52 million, which will be financed through a combination of cash and stock, including a performance-based earnout, significantly enhancing its drone component manufacturing capabilities.
- Technology Integration Benefits: This acquisition integrates Upgrade Energy's battery and power systems expertise into Unusual Machines' domestic manufacturing and engineering operations, thereby improving its competitiveness in the drone market, particularly in battery performance and reliability.
- Expansion Plans: Unusual Machines plans to add a second battery pack production facility in Orlando, Florida, to support the expansion of its battery production capabilities, which is expected to accelerate the development of new technologies and meet market demand.
- Positive Industry Outlook: Upgrade Energy's CEO stated that joining Unusual Machines will enable faster solutions to flight time and reliability challenges faced by drone operators, with expectations that the drone industry is entering a significant growth phase, and the collaboration will drive this momentum.
See More
The Drone Revolution in Modern Warfare
- Rise of Drones: Ukraine is producing millions of low-cost drones annually, rapidly reshaping the economics of warfare, although their ability to operate independently in complex environments remains limited.
- Software Bottleneck: Most drones rely on GPS for navigation and lack autonomous intelligence, making them vulnerable in electronic warfare and forcing reliance on human operators, which limits their effectiveness in combat.
- SPARC AI's Solution: SPARC AI is developing its Overwatch platform, a software-only system that enables drones to navigate and target precisely without GPS, enhancing their operational capabilities.
- Strategic Shift: The Pentagon's Replicator Initiative emphasizes the rapid deployment of low-cost autonomous systems, reflecting a future of warfare increasingly defined by software-driven capabilities rather than just hardware advantages.
See More
Unusual Machines Initiates $75M Strategic Purchase Orders for Drone Components
- Strategic Purchase Orders: Unusual Machines has announced the initiation of approximately $75 million in strategic purchase orders to secure materials and inventory, aimed at addressing the rising demand across its drone component lines, showcasing the company's confidence in market prospects.
- Supply Chain Enhancement: This investment is focused on strengthening the U.S.-based, NDAA-compliant supply chain and enabling production at scale over the next 12 months, reflecting the company's expectations for increased demand tied to U.S. drone initiatives.
- Capital Raise Context: This move follows a recent $150 million capital raise intended to fund inventory and long-lead materials, indicating the company's agility in responding to market changes and ensuring operational readiness.
- Regulatory Impact: With tightening regulatory requirements favoring domestic production, Unusual Machines' spending reflects an increasing focus on structured procurement programs, signaling a competitive advantage for the company in the evolving market landscape.
See More
ZenaTech Reports 558% Revenue Growth in 2025
- Significant Revenue Growth: ZenaTech achieved a record revenue of CAD 12.9 million in 2025, reflecting a remarkable 558% year-over-year increase, primarily driven by the successful execution of its Drone as a Service (DaaS) strategy, positioning the company as a key player in the rapidly growing market.
- Substantial Asset Increase: The company's total assets surged from CAD 34.6 million to CAD 99.8 million, marking a 188% increase, which underscores its strong momentum in expanding business and market share, thereby enhancing financial stability.
- Successful Acquisition Strategy: In 2025, ZenaTech completed 20 acquisitions, including 19 land surveying and inspection companies, significantly strengthening its global footprint in the DaaS sector and enhancing competitive positioning in the market.
- New Product Launches: The company introduced several new products, including the IQ Quad designed for land surveys and the IQ Aqua for underwater monitoring, further diversifying its product line and addressing the market's demand for efficient drone solutions.
See More
Unusual Machines Secures $5 Million Order
- Order Announcement: Unusual Machines announced a $5 million order from Powerus this week, with deliveries expected to be completed by the second quarter of 2026, significantly enhancing the company's market position and competitiveness in the drone parts sector.
- Market Opportunity: The company estimates a market opportunity of $3 billion to $5 billion for drone parts manufactured in the U.S., indicating strong growth potential, although future success is uncertain, necessitating careful evaluation by investors.
- Stock Price Fluctuation: After a decline of over 9% in March, Unusual Machines' stock has recently rebounded, with data showing a 4% increase since last Friday's close, reflecting positive market sentiment following the order announcement.
- Investor Attention: Despite reporting $11.2 million in revenue for 2025, analysts noted that Unusual Machines did not make the current list of top investment stocks, suggesting that investors should conduct thorough due diligence before considering an investment.
See More
Unusual Machines Stock Rebounds with $5 Million Order Announcement
- Stock Recovery: After a more than 9% decline in March, Unusual Machines' stock has recently rebounded, rising 4% from Friday's close through yesterday's trading, indicating renewed market confidence in its future performance.
- Major Order: This week, Unusual Machines announced a $5 million order from Powerus for counter-unmanned aerial systems and related drone parts, which is expected to drive revenue growth and enhance its market position.
- Market Potential: The company projects $11.2 million in revenue for 2025 while identifying a $3 billion to $5 billion market opportunity for U.S.-manufactured drone parts, highlighting its strategic positioning in a rapidly growing market.
- Delivery Timeline: Deliveries for the order are expected to commence in April and be completed by the second quarter of 2026, reflecting the company's proactive approach to meeting customer demands and capitalizing on market opportunities.
See More
Unusual Machines Acquires Upgrade Energy for $52 Million
- Acquisition Overview: Unusual Machines has announced a definitive agreement to acquire Upgrade Energy for approximately $52 million, which will be financed through a combination of cash and stock, including a performance-based earnout, significantly enhancing its drone component manufacturing capabilities.
- Technology Integration Benefits: This acquisition integrates Upgrade Energy's battery and power systems expertise into Unusual Machines' domestic manufacturing and engineering operations, thereby improving its competitiveness in the drone market, particularly in battery performance and reliability.
- Expansion Plans: Unusual Machines plans to add a second battery pack production facility in Orlando, Florida, to support the expansion of its battery production capabilities, which is expected to accelerate the development of new technologies and meet market demand.
- Positive Industry Outlook: Upgrade Energy's CEO stated that joining Unusual Machines will enable faster solutions to flight time and reliability challenges faced by drone operators, with expectations that the drone industry is entering a significant growth phase, and the collaboration will drive this momentum.
See More
The Drone Revolution in Modern Warfare
- Rise of Drones: Ukraine is producing millions of low-cost drones annually, rapidly reshaping the economics of warfare, although their ability to operate independently in complex environments remains limited.
- Software Bottleneck: Most drones rely on GPS for navigation and lack autonomous intelligence, making them vulnerable in electronic warfare and forcing reliance on human operators, which limits their effectiveness in combat.
- SPARC AI's Solution: SPARC AI is developing its Overwatch platform, a software-only system that enables drones to navigate and target precisely without GPS, enhancing their operational capabilities.
- Strategic Shift: The Pentagon's Replicator Initiative emphasizes the rapid deployment of low-cost autonomous systems, reflecting a future of warfare increasingly defined by software-driven capabilities rather than just hardware advantages.
See More
Unusual Machines Initiates $75M Strategic Purchase Orders for Drone Components
- Strategic Purchase Orders: Unusual Machines has announced the initiation of approximately $75 million in strategic purchase orders to secure materials and inventory, aimed at addressing the rising demand across its drone component lines, showcasing the company's confidence in market prospects.
- Supply Chain Enhancement: This investment is focused on strengthening the U.S.-based, NDAA-compliant supply chain and enabling production at scale over the next 12 months, reflecting the company's expectations for increased demand tied to U.S. drone initiatives.
- Capital Raise Context: This move follows a recent $150 million capital raise intended to fund inventory and long-lead materials, indicating the company's agility in responding to market changes and ensuring operational readiness.
- Regulatory Impact: With tightening regulatory requirements favoring domestic production, Unusual Machines' spending reflects an increasing focus on structured procurement programs, signaling a competitive advantage for the company in the evolving market landscape.
See More
ZenaTech Reports 558% Revenue Growth in 2025
- Significant Revenue Growth: ZenaTech achieved a record revenue of CAD 12.9 million in 2025, reflecting a remarkable 558% year-over-year increase, primarily driven by the successful execution of its Drone as a Service (DaaS) strategy, positioning the company as a key player in the rapidly growing market.
- Substantial Asset Increase: The company's total assets surged from CAD 34.6 million to CAD 99.8 million, marking a 188% increase, which underscores its strong momentum in expanding business and market share, thereby enhancing financial stability.
- Successful Acquisition Strategy: In 2025, ZenaTech completed 20 acquisitions, including 19 land surveying and inspection companies, significantly strengthening its global footprint in the DaaS sector and enhancing competitive positioning in the market.
- New Product Launches: The company introduced several new products, including the IQ Quad designed for land surveys and the IQ Aqua for underwater monitoring, further diversifying its product line and addressing the market's demand for efficient drone solutions.
See More
Unusual Machines Secures $5 Million Order
- Order Announcement: Unusual Machines announced a $5 million order from Powerus this week, with deliveries expected to be completed by the second quarter of 2026, significantly enhancing the company's market position and competitiveness in the drone parts sector.
- Market Opportunity: The company estimates a market opportunity of $3 billion to $5 billion for drone parts manufactured in the U.S., indicating strong growth potential, although future success is uncertain, necessitating careful evaluation by investors.
- Stock Price Fluctuation: After a decline of over 9% in March, Unusual Machines' stock has recently rebounded, with data showing a 4% increase since last Friday's close, reflecting positive market sentiment following the order announcement.
- Investor Attention: Despite reporting $11.2 million in revenue for 2025, analysts noted that Unusual Machines did not make the current list of top investment stocks, suggesting that investors should conduct thorough due diligence before considering an investment.
See More
Unusual Machines Stock Rebounds with $5 Million Order Announcement
- Stock Recovery: After a more than 9% decline in March, Unusual Machines' stock has recently rebounded, rising 4% from Friday's close through yesterday's trading, indicating renewed market confidence in its future performance.
- Major Order: This week, Unusual Machines announced a $5 million order from Powerus for counter-unmanned aerial systems and related drone parts, which is expected to drive revenue growth and enhance its market position.
- Market Potential: The company projects $11.2 million in revenue for 2025 while identifying a $3 billion to $5 billion market opportunity for U.S.-manufactured drone parts, highlighting its strategic positioning in a rapidly growing market.
- Delivery Timeline: Deliveries for the order are expected to commence in April and be completed by the second quarter of 2026, reflecting the company's proactive approach to meeting customer demands and capitalizing on market opportunities.
See More
