Neros Secures $615 Million to Scale Drone Manufacturing in Torrance, California

Drone maker Neros has announced a conditional loan commitment of up to $450 million from the Department of War’s Office of Strategic Capital (OSC) to accelerate vertically integrated manufacturing of multiple drone platforms and their critical components. Neros is committing $165 million in equity alongside the loan, bringing the total project size to $615 million.

Path to one million drones a year

The company’s manufacturing facility in Torrance, California will help onshore production of complete drone systems as well as subcomponents including propulsion motors, flight stacks, radios and thermal sensors. The capacity will support both Neros’ own production and the supply of NDAA-compliant components to other U.S. and allied drone manufacturers. Neros says the capital puts it on the path to producing one million drones per year by 2028.

Soren Monroe-Anderson, CEO and Co-Founder of Neros said:

“Since Neros’ founding, we’ve believed that the United States and its allies would need scaled production of military drones for credible deterrence against adversarial powers. This conditional commitment from the Office of Strategic Capital supports the manufacturing these critical technologies in America.”

David A. Lorch, Director of the Office of Strategic Capital said:

“Neros has already demonstrated an ability to design, manufacture, and deliver exceptional small unmanned aircraft systems. OSC’s investment will turbocharge Neros’ ability to manufacture drones and components critical for the production of drone systems.”

Next steps

The conditional commitment specifies additional financial, legal, technical and due diligence steps Neros must complete before financial close.