Draganfly Raises $10 Million From Unusual Machines and a US Fund to Expand Its Drone Business

Draganfly has raised US$10 million from Unusual Machines and an unnamed US investment fund, each putting in US$5 million, to expand its drone business as demand grows in the United States and abroad. The Canadian drone maker announced the strategic investment on 28 September as a registered direct offering.

The company will sell 1,869,159 common shares at US$5.35 each. It said it plans to use the net proceeds to accelerate development of advanced strategic capabilities and for general working capital. The Defense Post reported the deal on 30 September.

How Much Is the Draganfly Investment Worth?

The offering is priced at the market, based on Draganfly’s closing share price on Friday 25 September. Jett Capital Advisors and Northland Capital Markets acted as joint-lead placement agents. Closing was expected on or about 29 September, subject to customary conditions, approval from the Canadian Securities Exchange and notification to Nasdaq. Draganfly has since announced the closing, with 1,869,159 shares issued at US$5.35 for gross proceeds of about US$10 million before placement-agent discounts and expenses.

What Did Draganfly and Unusual Machines Say?

Draganfly chief executive Cameron Chell said the investment “is about positioning, not size” and about aligning capabilities that can best serve the industry’s requirements at scale, according to the release. Chell also told The Defense Post the company is seeing “the convergence of customer adoption, government procurement, domestic manufacturing, defense autonomy and strategic industry participation.”

Unusual Machines chief executive Allan Evans said in the release that America and its allies are entering a period in which the ability to manufacture drones, components and autonomous systems at scale is becoming a strategic capability. The release does not describe any commercial agreement between the two companies beyond the share purchase.

What Recent Wins Sit Behind the Draganfly Raise?

The release ties the investment to Draganfly’s recent defence procurement wins. The Defense Post lists two earlier US selections: a May 2026 selection by the Army Research Laboratory with F4 Defense International for counter-drone system development, and a February 2026 pick to supply Flex FPV drones and training to Air Force Special Operations Command through DelMar Aerospace.

In Canada, the company said on 11 September that it had been selected to supply low-cost tactical ISR aircraft to the Canadian Armed Forces under the Defence Drone Initiative marketplace: 100 systems initially, with options for up to 4,900 more worth about C$24.25 million if all are exercised. The company called pricing for the first 100 commercially sensitive.

What Is the Flex FPV Drone?

The Defense Post describes the Flex FPV as modular, with configurations from 5 to 13 inches, a payload of up to 3 kilograms and about 40 minutes of hover endurance without payload. Draganfly’s second-quarter release said two more US defence units had chosen the system.

How Big Is Draganfly’s Business Today?

The scale of the raise is modest next to the balance sheet the company reported for the second quarter. Draganfly reported revenue of US$2,664,237 for the quarter, up 26.0% year on year, with product sales of US$2,560,378 and a gross margin of 20.0%. It reported cash of US$131.9 million at 30 June, against US$90.2 million at the end of 2025.

Analysis: the new shares add dilution, and the pricing at market suggests the raise is about adding named strategic holders rather than raising the price. The company has not said how the proceeds will be split between development and working capital.

Draganfly Company Profile

Draganfly Investment FAQ

How much did Draganfly raise?

About US$10 million through a registered direct offering of 1,869,159 shares at US$5.35, announced 28 September 2026.

Who invested?

Unusual Machines and an unnamed US investment fund, US$5 million each.

What will the money be used for?

The company said it will accelerate development of advanced strategic capabilities and cover general working capital.

Is Draganfly a Canadian company?

Yes. It is based in Saskatoon, Saskatchewan, and trades on Nasdaq and the Canadian Securities Exchange.

Has the deal closed?

Yes. Draganfly announced the closing of the offering, with 1,869,159 shares issued at US$5.35 and gross proceeds of about US$10 million.