Shares of DroneShield Ltd (DRO.AU) surged 5.07% in intraday trading on Monday, as the company responded to recent media reports and reaffirmed its commitment to compliance and ethical practices. The counter-drone technology firm's proactive approach to addressing concerns appears to have boosted investor confidence.

In a statement to the Australian Securities Exchange, DroneShield's CEO reconfirmed his commitment to the company, while the firm emphasized that its financial reporting practices fully comply with all applicable accounting standards. The company also stated that it adheres to strict compliance procedures under Australian export control legislation and maintains robust internal controls.

DroneShield further announced plans for an independent review of its continuous disclosure and securities trading policies, to be overseen by independent directors Simone Haslinger and Richard Joffe. The company also committed to ensuring an appropriate balance between cash compensation and equity-based incentives moving forward. Additionally, Tom Branstetter, the vice president of sales and business development, will lead US operations in the interim, signaling a focus on strengthening its presence in the crucial American market.