Unusual Machines Acquires Rotor Lab To Strengthen Drone Supply Chain

Unusual Machines, Inc. (AMEX:UMAC) on Friday inked a definitive agreement to acquire Rotor Lab Pty Ltd, an Australia-based manufacturer of electric propulsion systems for unmanned aerial systems.

The $7 million deal, which includes a $3 million earnout, is structured primarily as an all-stock transaction.

Effective June 12, 2025, the acquisition is intended to enhance Unusual Machines’ motor production capabilities and support its expansion within the commercial and defense drone markets.

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According to Benzinga Pro, UMAC stock has gained over 482% in the past year.

Rotor Lab, founded in 2022, develops a range of high-performance electric motors for small to large drone platforms.

The company has been collaborating with Unusual Machines for nearly a year on motor designs including the 2207, 2807, and 3220 models.

These products are slated to begin production later this year at Unusual Machines’ upcoming factory in Orlando, Florida, expected to open in September 2025.

The deal remains subject to standard closing conditions, including regulatory approvals and finalizing an employment agreement with Rotor Lab’s current CEO, Andrew Simpson.

Once the acquisition is complete, Rotor Lab will continue operating its Canberra facility as an engineering and prototyping hub to complement the U.S. manufacturing operations.

“We are excited to welcome Andrew and the entire Rotor Lab team into Unusual Machines,” said Allan Evans, CEO of Unusual Machines. “Rotor Lab’s engineering and production capabilities accelerate our goal of building a resilient drone supply chain,” Evans added.

Aloft Deal Terminated

In a separate development, Unusual Machines announced it has canceled its planned acquisition of Aloft, effective June 9, 2025.

The company cited strategic misalignment for the termination and clarified that no fees will be incurred. Both sides remain open to future collaboration.

“While we were excited about the potential of combining forces, we are confident in our growth strategy and can really focus on executing our core mission: to build the backbone of the domestic drone supply chain,” Evans said.

The company confirmed that the canceled transaction will not affect its financial position or ongoing strategic plans.

Price Action: UMAC shares are trading higher by 1.21% to $8.34 at last check Friday.

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