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ASX-listed DroneShield has opened its new headquarters in Pyrmont, committing to triple its research and development and manufacturing capacity to AU$400 million annually.
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The announcement was funded by the company’s $115 million capital raise and will support the company’s $500 million sales pipeline. Thirty million dollars of the capital raise remains subject to shareholder approval.
DroneShield’s 120 local staff will be based at the new Pyrmont site, which the company outlined has a floor for advanced R&D, engineering, and manufacturing to support its customer base in 70 countries. The 2,000-square-metre facility also features additional space for expansion.
The growth reflects the increasing demand for counter-UAS capabilities which are not only transforming the modern battlefield, but even civilian locations such as airports, Oleg Vornik, chief executive officer at DroneShield, said.
“The threats that drones can pose are finally being taken seriously,” Vornik outlined.
“Whether it’s due to the turmoil they can cause on the battlefield, or the countless ways they can disrupt everyday life – at airports, prisons and public events, for example – drone deterrence is now a priority for government agencies and authorities, in Australia and abroad.”
The company outlined that the new site was crucial amid growing demand for their products, with the team expected to grow by 40 employees.
“We are seeing a major push for comprehensive counter-drone and counter-UAS capabilities – predominately from the US, but broadly across Five Eyes and allies, and slowly but surely in Australia. However, our equipment is sophisticated, AI-based technology that can take up to four months to build, containing up to 200 components that must be manufactured, assembled, and quality controlled,” Vornik continued.
“Supply chain and inventory certainty is critical, and we are leveraging funds from the $115 million capital raise to enable us to create upwards of $400 million in equipment per year – all within Australia, at the new facility, as a truly sovereign defence supplier – for global customers that expect high-performance equipment to be available right away.”
The announcement comes as the company reported a tenfold growth in revenue for the first quarter of 2024 compared to quarter one 2023.
