Ondas Holdings (NASDAQ: ONDS) has completed its acquisition of Cyberhawk, a drone-enabled inspection and AI data analytics firm, in a deal valued at $118.2 million in cash plus 581,700 units of common stock. The transaction closed on August 10 and adds a software and services platform to Ondas' existing autonomous systems portfolio, which includes the American Robotics and Airobotics drone platforms acquired in prior transactions.

The stock issued to Cyberhawk sellers is subject to a one-year lock-up period, with additional trading restrictions extending for 18 months. ONDS shares rose approximately 4% following the announcement, trading near $9.50. The stock has gained roughly 5% over the past week, with the price movement tracking closely to the deal's closing.

ONDS was trading near its session high of around $9.50 at the time of the announcement, with elevated volume relative to recent sessions.

Cyberhawk's Capabilities and Market Reach

Cyberhawk operates a drone-enabled inspection platform serving infrastructure owners and operators on a global scale. The company's technology portfolio includes visual data management, AI-powered analytics, and specialized inspection services. The acquisition follows a broader industry pattern in which drone hardware makers are adding data and analytics layers to capture recurring software and services revenue, rather than relying on one-time hardware sales.

Cyberhawk's customer base spans the utilities, energy, renewable energy, mining, and industrial sectors. Ondas already operates in defense, homeland security, public safety, and industrial markets through its autonomous systems business. The Cyberhawk acquisition adds a complementary software and services layer atop Ondas' hardware-focused foundation, positioning the company to offer both the drones that collect inspection data and the analytics platform that processes it.

CEO Eric Brock stated that the deal is expected to accelerate Ondas' growth across high-value critical infrastructure and industrial markets, with improved data and AI utilization across operations cited as a key objective.

Equity Grants for Newly Hired Employees

In connection with the acquisition, Ondas approved equity grants for 47 newly hired employees. The grants consist of 1,601,593 restricted stock units (RSUs) and options to purchase 1,290,000 shares at an exercise price of $9.11 per share.

The RSUs vest across three schedules:

• The largest tranche of 1,097,687 units vests semi-annually over two years.
• A second portion of 460,000 units vests one-third on August 10, 2027, followed by eight equal quarterly installments.
• A smaller tranche of 43,906 units vested on the closing date.

Stock options vest one-third on August 10, 2027, followed by 24 equal monthly installments. All vesting is contingent on continued employment.

The grants were issued under the Nasdaq Rule 5635(c)(4) inducement grant exception, which permits equity awards to newly hired employees without prior shareholder approval and is commonly used in acquisitions to retain incoming staff.

Ondas stated it will file a Current Report on Form 8-K with the U.S. Securities and Exchange Commission in connection with the acquisition.