Unusual Machines Secures $40 Million in Equity Raise to Expand Drone Manufacturing Operations

Unusual Machines, Inc. (NYSE American: UMAC), a leading U.S. manufacturer of drone components and accessories, has completed a strategic capital raise by pricing 8 million shares at $5.00 per share, bringing total proceeds to $40 million before fees. The equity issuance, facilitated through an accelerated offering process with Dominari Securities LLC as financial advisor, is slated to conclude by May 6, 2025.

Expansion Plans and Capital Allocation

The company intends to deploy the capital primarily toward expediting construction of its advanced drone motor production facility in Orlando, Florida. Beyond facility development, proceeds will support working capital needs and general corporate initiatives as the company positions itself for accelerated growth in the expanding unmanned systems sector.

Market Position and Product Portfolio

Unusual Machines operates a diversified business spanning multiple drone-related brands. Fat Shark, the company’s flagship product line, dominates the first-person view (FPV) ultra-low latency video goggles segment, serving professional and recreational drone pilots. The company also operates Rotor Riot, a direct-to-consumer e-commerce platform specializing in compact FPV drones and related equipment.

Recent recognition underscores the company’s strategic importance: several Unusual Machines products earned placement on the Defense Innovation Unit’s Blue Framework list, signaling qualification for defense and government applications.

Capitalizing on Industry Growth Trajectory

The timing of this raise aligns with significant market expansion opportunities. According to market research firm Fact.MR, the global drone accessories sector currently stands at a $17.5 billion valuation, with projections to reach $115 billion by 2032—representing a compound growth opportunity in a market increasingly driven by defense procurement and commercial adoption.

By scaling manufacturing capacity and expanding component supply capabilities, Unusual Machines aims to capture greater market share within this high-growth vertical while establishing itself as a preferred supplier to both commercial drone manufacturers and U.S. defense sector participants.

Regulatory Framework and Offering Details

This offering proceeded under an effective Form S-3 registration statement (No. 333-286413) filed with the Securities and Exchange Commission on April 7, 2025, and declared effective April 21, 2025. The preliminary prospectus supplement was filed May 5, 2025, with final terms to be disclosed in a subsequent prospectus filing.

For additional information: investors@unusualmachines.com | 917-633-8980