Pakistan Army signs drone deal with Powerus
What's the story
The Pakistan Army has signed a deal with United States-based drone company Powerus, co-founded by Brett Velicovich. The agreement includes an initial order for unmanned aerial systems. Details of the memorandum of understanding remain undisclosed, but Velicovich emphasized the goal of a joint technology relationship between the United States and Pakistan. "The goal would be a joint technology relationship, pairing best-in-breed technology from the US with best-in-breed technology from Pakistan," he said.
Merger plans
Powerus set to merge with publicly traded company
Powerus is set to merge with Aureus Greenway Holdings, a publicly traded company backed by Donald Trump's sons, Donald Trump Jr. and Eric Trump.
The merger is expected to be completed in early October.
The Trump brothers own a stake in Aureus through an investment fund called American Ventures, which will hold a 9.9% beneficial ownership stake in the merged entity.
Industry impact
Powerus specializes in unmanned systems for military and industrial applications
Powerus specializes in designing, developing, and deploying unmanned aerial and maritime systems for military and industrial applications.
Its founder Andrew Fox said Pakistan's private defense sector is "emerging" but not "mature," leaving room for US companies to establish a presence.
Fox stressed that contracts were awarded on merit and the Trump sons had "no involvement on the business side" of Powerus.
Future plans
Manufacturing technology in Pakistan being considered
Powerus is looking into the possibility of manufacturing technology in Pakistan as part of its long-term capacity building efforts with the Pakistan Army.
The company aims to build a joint technology relationship between the two countries.
This development comes amid improving relations between Washington and Islamabad after years of tensions.
Recent agreements
US approved $686 million F-16 fighter jet deal for Pakistan
In December last year, the United States approved a $686 million arms deal to sell advanced technology and support for Pakistan's F-16 fighter jets.
The package included Link-16 systems, cryptographic equipment, avionics updates, training, and logistical support.
Powerus has also signed a commercial contract worth approximately $22.3 million to supply counter-drone technology aimed at protecting oil and gas infrastructure in the Middle East.