JERSEY
CITY, NJ, Dec. 17, 2024 /PRNewswire/ -- Dec 17, 2024 - Nukkleus, Inc. (NASDAQ: NUKK), a
pioneer in the fintech sector traditionally focused on the
cryptocurrency market, announced that it has
successfully acquired a 51% controlling stake in Star 26 Capital
Inc., a defense acquisition company holding 95% ownership in
RIMON. RIMON is a leading Israeli supplier of critical
components for the Iron Dome missile defense system, as well as
other defense and tactical solutions.
The transaction, finalized on December
15, 2024, involved a total purchase price of $26 million, including cash, a promissory note
Nukkleus's common stock, and warrants to purchase
additional shares of common stock of Nukkleus. This acquisition
also includes an option agreement allowing Nukkleus to acquire the
remaining equity in Star 26 at a later date.
With this acquisition, Nukkleus gains control over RIMON's
diversified operations, which include two key business
lines:
Distribution of Generators, masts and Lighting Solutions:
RIMON operates through exclusive distributorship
agreements with leading suppliers.
Development of Tactical Vehicles: RIMON designs,
engineers, and integrates tactical vehicles, including
reconnaissance vehicles, mobile command and control units, and
satellite broadcast platforms, serving special defense forces,
intelligence agencies, and the Israeli Defense Forces
(IDF).
Manny Shalom, the newly appointed
CEO of Nukkleus and a seasoned entrepreneur in the security sector,
stated "This merger positions Nukkleus at the
forefront of a booming defense industry. Our acquisition of Star 26
and RIMON aligns with our strategic pivot to capitalize on
opportunities in the defense sector, which has seen rapid growth
due to geopolitical shifts in the Middle
East and the war in Ukraine. This has resulted in a surge of
investments and acquisitions in Israeli defense firms such as
PARAGON and PROTEGO, alongside a 120% increase in Israel's defense indices and a
38% rise in similar indices in the US."
He added "RIMON's expertise in critical defense systems, coupled
with its established partnerships with leading defense exporters
like Rafael and Elbit Systems, strengthens Nukkleus's
capabilities in delivering innovative defense
solutions."
As part of its expansion strategy, Nukkleus plans to integrate
Star 26 operations into its business structure while exploring
further growth opportunities. The company will also plans to
broaden its activities into other sectors, serving as a Merchant
Bank for companies in banking, U.S. real estate, and
technology-populated coworking space campus locations, leveraging
its financial expertise to seize emerging opportunities in the
changing region of the middle east.
Looking Ahead
The combined entity will focus on the Israeli and US market
opportunities – acquiring controlling interest in medium-sized
companies while providing them financing and global business
development opportunities. With a shared commitment to innovation
and excellence, Nukkleus and Star are poised to drive growth and
deliver value to shareholders, customers, and stakeholders
alike.
Forward-Looking Statements
This press release contains forward-looking statements that
involve risks and uncertainties, including statements regarding the
anticipated benefits of the acquisition, expected market trends,
and future performance. Actual results may differ materially due to
various factors. For a detailed discussion of these risks, please
refer to Nukkleus's filings with the Securities and Exchange
Commission (SEC).
Contact:
Yair Ohayon
CMO
l@nukk.com
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SOURCE Nukkleus, Inc.
