Unusual Machines Completes Upgrade Energy Acquisition

The Tip Desk · October 26, 2026 · 3 min read

The drone-parts maker said the completed deal adds battery and power systems and plans battery-pack operations at a second Orlando production facility.

Unusual Machines, Inc. (UMAC), a manufacturer of NDAA-compliant drone components, completed its acquisition of DroneNX LLC, which operates as Upgrade Energy, a U.S. manufacturer of high-performance drone batteries and power systems, on October 19, 2026.

The company said the deal, originally announced on May 11, 2026, expands its portfolio to include batteries, complementing existing motors, headsets, and other drone components. The May announcement valued the transaction at approximately $52 million and said it was expected to consist of a combination of cash and stock consideration, including a performance-based earnout. The company said the acquisition adds battery expertise to its domestic manufacturing and engineering operations, broadens its drone-component lineup, and strengthens U.S. production capacity.

Ahead of closing, Unusual Machines began scaling battery production and hiring additional personnel at Upgrade Energy’s 18,500-square-foot facility in Torrance, California, with plans to establish battery-pack operations in Orlando, Florida. The May announcement had said the company planned to add a second production facility in Orlando in the coming months.

“The U.S. is investing heavily in domestic drone production, but the industrial base is only as strong as the supply chain supporting it,” said Allan Evans, CEO of Unusual Machines. “Batteries are an essential part of that equation. Matt and his team have built a strong business with deep expertise in battery technology and manufacturing. This adds a critical piece of the drone powertrain to our business and strengthens our ability to support the industry’s next phase of growth.”

The battery purchase follows a year of bolt-on deals aimed at the same domestic supply-chain thesis. In June 2025, Unusual Machines agreed to buy Rotor Lab Pty Ltd, an Australian developer of electric motors and propulsion systems, in a substantially all-stock deal valued at $7.0 million, including a $3.0 million earnout. That acquisition closed on September 3, 2025, and the companies said co-developed motors — including 2207, 2807, and 3220 sizes — would be among the first produced at Unusual Machines’ Orlando motor plant, scheduled to open in September 2025. Rotor Lab’s Canberra site was to continue as an engineering hub for motor design and prototyping.

The battery deal also sits against a backdrop of large defense and commercial orders. In October 2025, the company received an $800,000 order from Red Cat Holdings, Inc. (RCAT) for cameras, video transmitters, flight controllers, electronic speed controllers, goggles, and motors for Red Cat’s FANG drones. In October 2025 it also announced an order from the U.S. Army’s 101st Airborne Division for 3,500 NDAA-compliant motors and related components for the Attritable Battlefield Enabler V1.01 drones, with the Army indicating plans to target an additional order of 20,000 components in 2026.

In April 2026, Unusual Machines secured a $5 million-plus order from Autonomous Power Corporation, doing business as Powerus, for components used in counter-UAS interceptor systems and 10-inch class drones, with deliveries scheduled to commence in April and complete within the second quarter. In June 2026 it disclosed a $30 million strategic equity investment in Powerus. On October 22, 2026, the company said it received a $16.9 million purchase order from Powerus Corporation (PUSA) covering motors, batteries, cameras, and video transmitters across Powerus’s unmanned systems portfolio. That order, the company said, follows the earlier $5 million-plus April order and the June equity stake.

Unusual Machines described its portfolio after the Upgrade Energy close as including flight controllers, electronic speed controllers, video systems, motors, FPV headsets, cameras, and, following the acquisition, batteries and power systems. The company said it is expanding U.S. manufacturing to meet demand from defense, enterprise, and commercial customers, while serving the consumer FPV market through Fat Shark and Rotor Riot. The Orlando battery-pack plan is the next step in that expansion, the company said, as it plans to establish battery-pack operations at a second production facility for the battery technology Upgrade Energy brings into the group.