XTI Aerospace Acquires Drone Nerds and Secures $25M Investment from Unusual Machines

XTI Aerospace, Inc. (NASDAQ: XTIA) has completed the acquisition of Drone Nerds, one of the largest U.S.-based drone distributors, in a $40 million transaction finalized on November 10, 2025. Simultaneously, the company secured a $25 million strategic investment from Unusual Machines (NYSE American: UMAC) to accelerate growth in unmanned aircraft systems and the Vertical Economy™. The acquisition brings significant hardware, software, and enterprise drone services capabilities to XTI Aerospace through a combination of cash, promissory notes, and equity consideration.

Drone Nerds generated more than $100 million in revenue during 2024, establishing itself as a major player in the domestic drone distribution market. The strategic investment from Unusual Machines involves preferred stock that awaits shareholder approval for conversion. Leadership from all three companies emphasized the significant opportunity created by increasing demand for domestic UAS solutions, particularly following the June 2025 White House Executive Order on U.S. drone development that has stimulated growth in the sector.

The transactions position XTI Aerospace to leverage Drone Nerds' established market presence and distribution network while utilizing the $25 million investment to expand its unmanned aircraft systems portfolio. XTI Aerospace, known for developing the TriFan 600 VTOL aircraft that combines helicopter-like vertical takeoff with fixed-wing plane speed and range, noted that ThinkEquity served as exclusive M&A advisor and placement agent for both transactions. The company also maintains real-time location systems capabilities through its Inpixon business unit, further enhancing its position in the aviation technology market.

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