Ondas Acquires GATE Technologies Expanding Precision-Strike Platform
News related to:Ondas Inc · 2 min read
Ondas Inc, a leading provider of advanced autonomous systems and defense technologies, has acquired GATE Technologies and Bron Technologies, expanding its precision-strike platform with critical electronic safe-and-arm and fuze technology.
Founded in 2006, GATE Technologies specializes in Electronic Safe & Arm Devices (ESADs) and advanced electronic fuzing solutions, integrating its technology into a wide range of weapon systems including UAVs, loitering munitions, missiles, and rockets. The acquisition will add a crucial layer to Ondas' precision-strike technology stack, enhancing its ability to provide integrated solutions across the complete autonomous strike architecture.
The transaction, valued at $205 million, includes a significant cash payment and a working capital adjustment, with up to $185 million in performance-based earn-out consideration tied to financial targets through 2028. Ondas expects the acquired business to contribute more than $130 million in Adjusted EBITDA over the next three years.
"Munitions stockpiles are being rebuilt around the world, and a new generation of low-cost, autonomous munitions is becoming a growing part of the battlefield. At the same time, the market is shifting from traditional mechanical fuzes to electronic safe-and-arm devices, which are essential for weapons that are smaller, smarter, and software-defined."
GATE's RUBI product line, which combines proprietary LEEFI initiation technology with a fully electronic, compact architecture, has been integrated into dozens of weapon systems globally. The company's in-house engineering team tailors arming conditions, sensor configurations, triggering functionality, and form factors to individual weapon programs, creating strong barriers to entry and positioning GATE to benefit as global production of precision-strike systems expands.
The acquisition significantly expands Ondas' presence in the precision-strike market, with GATE's ESAD and EISD products providing mission-critical safety, arming, and initiation functionality. Ondas expects GATE to generate $65 million in revenue in 2026, increasing to $180 million by 2028, with a strong margin profile resulting in more than $130 million in Adjusted EBITDA for the full three years.
Ondas expects the acquisition to generate high returns on invested capital for its shareholders. The company plans to invest in GATE's capacity, engineering, and global reach, supporting more customers and programs. Ondas also aims to establish U.S. engineering, integration, qualification, and production capabilities to address customer demand and program-specific domestic-source requirements, with U.S.-produced finished products and integrated systems expected in the first half of 2027.
The transaction is expected to significantly enhance Ondas' position in the expanding precision-strike market, with GATE's technology playing a critical role in modern weapon systems.