VisionWave begins R&D on space-based counter-drone system

WEST HOLLYWOOD/KFAR SABA - VisionWave Technologies Inc., a subsidiary of VisionWave Holdings, Inc. (NASDAQ:VWAV), announced Tuesday it has commenced research and development on Argus, a space-enabled counter-drone system designed to detect and neutralize unmanned aircraft threats. The micro-cap company, with a market capitalization of just $7.65 million, has seen its stock price fluctuate significantly over the past year, trading between $2.06 and $18.41. Currently priced at $9.15, VWAV shares have declined approximately 18% year-to-date according to InvestingPro data.

The system, developed in collaboration with BladeRanger, aims to provide wide-area protection through a combination of satellite-based detection, artificial intelligence for threat classification, and high-frequency communications to coordinate defensive responses.

According to the company, Argus is intended to monitor borders, critical infrastructure, and urban areas using satellites equipped with various sensor technologies to detect small and tactical drones. The system would then apply AI-driven object recognition to identify drone types and evaluate potential threats.

For maintaining communications in contested environments, the company plans to implement high-frequency connectivity that can operate when conventional communications are jammed or disabled.

The defense system is designed to coordinate various response options, including interceptor drones, ground-based systems, and electronic countermeasures.

"Modern conflicts have shown that small drones and loitering munitions can redefine the battlefield with little warning," said Doug Davis, VisionWave Chairman, in a press release statement.

VisionWave reported it has completed the system architecture and plans to file a patent application covering its technical innovations in the coming weeks. The company indicated Argus will build upon existing VisionWave technologies that have been developed for other programs.

The announcement comes as VisionWave targets the growing global counter-drone defense market. The company has entered into a binding Letter of Intent to acquire its subsidiary, though the transaction remains subject to numerous conditions and has not yet closed. Financially, VisionWave faces challenges with a negative P/E ratio of -8.03 and earnings per share of -$0.37, though it maintains positive levered free cash flow of $0.53 million despite carrying $2.07 million in debt. With a beta of just 0.15, the stock exhibits significantly lower volatility than the broader market. Investors seeking deeper analysis of VWAV’s financial health can access additional metrics and exclusive ProTips through InvestingPro, which offers comprehensive valuation tools for emerging defense technology stocks.

In other recent news, VisionWave Holdings Inc. has filed unaudited condensed interim financial statements for its subsidiary, VisionWave Technologies Inc., covering the three months ended June 30, 2025. This filing includes comparative data for the same period in 2024, providing insights into the subsidiary’s financial performance. Additionally, VisionWave has completed assembling a due diligence team for the proposed acquisition of Solar Drone Ltd., a subsidiary of BladeRanger Ltd. This team consists of legal, technical, regulatory, financial, and advisory professionals from Israel and the United States.

VisionWave has also made significant strides in its European growth strategy by appointing Judit Nagypal to lead its commercial engagement in the region. Nagypal, based in Munich, will oversee opportunities with Germany’s DB InfraGO AG and is under consideration to join the company’s board of directors. In another development, VisionWave has filed a U.S. Provisional Patent Application for its WaveStrike technology, an AI-assisted multi-modal RF fire-control system designed for military applications. This system is intended to provide real-time situational awareness in challenging conditions. These recent developments reflect VisionWave’s ongoing efforts to expand its technological and geographical footprint.

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