AIRO Group and Nord Drone Form Joint Venture to Accelerate Battlefield Drone Deployment

AIRO Group Holdings, Inc. (Nasdaq: AIRO) has signed a non-binding letter of intent with Nord Drone LLC to establish a strategic joint venture aimed at accelerating the deployment of combat-proven unmanned aerial systems to the United States, Ukraine, and other NATO member countries. This partnership represents a significant development in defense technology collaboration, combining AIRO's manufacturing infrastructure and government procurement expertise with Nord Drone's proprietary drone technologies and production capabilities.

The joint venture is strategically important as it addresses urgent operational needs across key defense markets while supporting both immediate conflict response and long-term modernization initiatives. Nord Drone currently manufactures approximately 4,000 drones per month, with the ability to scale up to 25,000 units with additional government support, making this partnership crucial for meeting the growing demand for advanced drone systems in current conflict zones. The company's flagship models like the NORD-10 and NORD-15 offer up to 15 km range, 4.5 kg payloads, and advanced GPS/GLONASS/BeiDou navigation systems.

This collaboration enhances AIRO's defense and aerospace portfolio by integrating Nord Drone's high-volume, battlefield-proven drone systems. AIRO's RQ-35 Heidrun has demonstrated battlefield effectiveness with hundreds of thousands of flight hours across its deployed fleet, featuring advanced autonomous navigation and real-time ISR capabilities. The partnership would expand AIRO's reach into adjacent battlefield applications and reinforce its position as a comprehensive provider of next-generation unmanned systems to global defense clients.

The timing of this joint venture is particularly significant given the ongoing defense requirements in Ukraine and other conflict areas. As Dr. Chirinjeev Kathuria, Executive Chairman of AIRO, stated, "This strategic partnership represents a significant opportunity to deliver proven, battlefield-tested technology to our allies when they need it most." The combination of engineering capabilities, manufacturing resources, and NATO relationships with Nord Drone's technical expertise could rapidly scale production of critical defense systems.

Yevgen Kotukh, CTO of Nord Drone, emphasized that the collaboration "has the potential to create a powerful platform to expand our combat-proven technologies to serve U.S. and NATO forces." The partnership will enable leveraging established manufacturing infrastructure while maintaining the technical excellence that has made Nord Drone's systems effective in current operations. Joe Burns, CEO of AIRO, noted that the LOI represents "the first step toward a joint venture that will exemplify our commitment to supporting our allied nations and their defense capabilities."

The joint venture is subject to customary conditions including mutual due diligence and regulatory review processes, with both companies agreeing to use good faith efforts to negotiate definitive documentation within 60 days. This partnership could significantly impact defense capabilities by providing scalable, combat-tested drone technology to allied forces facing immediate operational challenges.