Shares of DroneShield Ltd (ASX:DRO) surged 10.22% during intraday trading on Wednesday, reaching an all-time high. The significant uptick comes on the heels of two major announcements that have bolstered investor confidence in the counter-drone technology company.
On Monday, DroneShield revealed plans to invest over AU$13 million in a new production facility in Sydney, scheduled to open in December. This strategic move is expected to enhance the company's manufacturing capabilities and potentially increase its market share in the growing drone defense sector. Additionally, last week, the company secured a two-year AU$11.7 million follow-on research and development contract from an undisclosed Five Eyes Department of Defense customer, further solidifying its position in the defense technology market.
The recent surge is part of a broader upward trend for DroneShield. The stock has demonstrated remarkable performance, gaining an impressive 436% year-to-date and 98% since July 2024. As global interest in drone defense technologies continues to rise, investors appear optimistic about DroneShield's growth prospects and its ability to capitalize on increasing demand for its products and services.
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