US-based drone maker Powerus has signed an agreement to supply unmanned aerial systems to the Pakistan Army. The company is currently moving toward a merger with Aureus Greenway Holdings, a firm backed by an investment fund linked to Donald Trump Jr. and Eric Trump. Investors are monitoring the deal's execution and the upcoming merger completion scheduled for early October.
Powerus, a US-based developer of aerial and maritime drone technology, has entered into a memorandum of understanding with the Pakistan Army. This agreement aims to supply unmanned aerial systems and integrate US-designed technology into the defense infrastructure of the South Asian nation. While specific financial terms were not disclosed, the deal represents a notable development in defense procurement for the region.
The agreement is occurring alongside corporate changes for Powerus, which is in the process of merging with Aureus Greenway Holdings. Regulatory filings show that American Ventures, an investment fund associated with Donald Trump Jr. and Eric Trump, is set to hold a 9.9% stake in the combined entity once the merger closes in early October 2026. Company leadership has stated that the contracts were secured based on merit and that the investment ties are passive, with no involvement in daily operations or contract negotiations.
For investors, this partnership introduces several layers of context. The deal signals an effort to deepen defense cooperation between the United States and Pakistan, with discussions already underway regarding potential local manufacturing capabilities for future hardware. This push for regional production is intended to address specific needs within Pakistan's defense sector. From a risk perspective, defense contracts in volatile geopolitical regions often face scrutiny regarding supply chain reliability, regulatory approvals, and shifts in diplomatic relations. The White House has indicated that the family's investment interests do not create conflicts of interest regarding these defense negotiations.
The key focus for market participants will be the successful completion of the merger between Powerus and Aureus Greenway Holdings in early October. Beyond the corporate restructuring, investors may track the execution of the initial drone orders, the actual commencement of any joint production ventures within Pakistan, and the impact of these developments on the combined entity's order book. As with all defense sector investments, the long-term performance of the company will depend on its ability to maintain technological advantage, navigate international regulatory environments, and fulfill delivery timelines without significant cost overruns or delays.