Shares of Ondas Holdings (ONDS) edged higher on Wednesday after closing Tuesday at $7.72, a 4.6% gain, following the company's announcement that it has completed the acquisition of three defense technology businesses for an aggregate purchase price of $56 million.

According to the company's announcement, the acquired companies — Insignito, Ottopia Defense and Caribou Labs — are intended to expand Ondas' autonomous defense platform across drone detection, battlefield communications and navigation in environments where GPS may be unavailable.

The company publicized the completed deals on X:

Ondas has acquired Insignito, Ottopia Defense, and Caribou Labs, adding passive acoustic sensing, resilient connectivity and GNSS-denied navigation for planned integration across its autonomous defense portfolio. $ONDS

— Ondas Inc. (@OndasHoldings) September 23, 2026 (via X)

Three Deals Expand Ondas' Defense Platform

Insignito brings passive acoustic technology designed to detect and track drones based on their sound signatures. Its DUMBO system has already been deployed in conflict zones and is aimed in part at smaller FPV and low-altitude drones that traditional sensors can struggle to detect.

Ottopia Defense contributes communications and remote-control software for unmanned systems. Its technology manages video, telemetry and command links across unreliable or bandwidth-constrained networks, helping human operators retain control in difficult operating environments.

Caribou Labs specializes in resilient communications and positioning when satellite navigation is unavailable or disrupted. Its technology is already deployed in active conflict environments and is intended to complement Ondas' aerial, ground and command platforms.

Read together, the three purchases form a layered chain for unmanned operations: Insignito covers detection, Ottopia the connection between operator and machine, and Caribou positioning when satellite signals fail. Ondas said the combined businesses will reinforce its broader “Systems-of-Systems” strategy, which aims to unite detection, connectivity, navigation and autonomous platforms into more complete defense solutions. Management also noted that the $56 million purchase price represents less than three times its forecast for the businesses combined 2027 revenue — a valuation based on Ondas' own projections rather than reported results.

Deal Terms Include Up to $32 Million in Earnouts

The $56 million consideration may be paid in cash or in Ondas stock. The agreements also provide for potential earnouts of up to $32 million if the acquired businesses meet performance targets through 2028, tying a portion of the total price to post-deal performance rather than paying it all upfront.

Stock Consideration Adds Dilution Risk

The transactions come with new equity issuance. Ondas approved restricted stock units covering approximately 2.98 million shares, along with options for another 80,000 shares, for 37 employees joining the company through the deals.

Separately, an SEC filing registered roughly 7.82 million ONDS shares for resale by holders connected to the acquisitions, including those tied to Insignito, Caribou Labs and Ottopia. Ondas itself will not receive any proceeds from those resales. While the registered resale amount is modest relative to roughly 582 million ONDS shares outstanding, it creates potential supply pressure. Some resale restrictions are in place to limit how quickly acquisition-related holders can sell into the market.

The principal investor risks therefore center on integration, dilution and execution. Ondas must demonstrate that the acquired technologies can generate the expected revenue and strengthen its existing platforms enough to justify the purchase price.

The stock also remains volatile. ONDS closed Tuesday at $7.72 after its 4.6% gain, but it is still well below its 52-week high above $15.

For now, the completed acquisitions stand as the clearest new catalyst. Ondas has closed all three transactions and is moving directly into integration, while investors weigh the added defense capabilities against the earnout obligations and stock-based consideration. The markers to watch from here are already defined: progress against the 2027 revenue forecast management used to frame the purchase multiple, earnout performance through 2028, and the pace of acquisition-related share resales.

This article originally appeared on CoinCentral.