UAE to invest $10m in Israeli arms company

The UAE-based advanced defence technology firm, EDGE, has announced plans to invest $10 million for a 30 per cent stake in Israel’s Thirdeye Systems, a company specialising in AI-driven electro-optical solutions for detecting drones and unmanned aerial vehicles.

According to the Times of Israel, the deal is pending approval from Israel’s Defence Ministry. Yesterday, Netanya-based Thirdeye revealed that EDGE has also committed an additional $12 million to establish a joint venture focused on developing and marketing electro-optical object recognition systems in new international markets.

Under the agreement, EDGE will hold a 51 per cent majority stake in the joint venture, while Thirdeye will retain 43 per cent, with the remaining 6 per cent allocated to a third party.

“This technological and security partnership sends a strong message about the capabilities of our AI-driven products and their contribution to national security,” said Thirdeye CEO, Lior Segal. “Partnering with a globally recognised supplier like EDGE will help us showcase Thirdeye Systems’ technological advantages and further expand our footprint in additional international markets.”

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EDGE President Rodrigo Torres described the partnership as mutually beneficial, emphasising that it would expedite the development of advanced systems, reported Reuters.

Despite the UAE’s normalisation of diplomatic ties with Israel in 2020, many Emirati companies have distanced themselves from openly conducting business with Israeli firms in the past 15 months, due to widespread criticism of Israel in the Arab world and its 15 month genocide in Gaza. While Abu Dhabi has condemned Israel’s military operations in Gaza, diplomatic ties between the two nations have persisted.

Thirdeye Systems, a key supplier to the Israeli military and several NATO countries, specialises in drone detection technology. The company’s stock has seen a sharp 51 per cent increase since the conflict began, reaching 333.8 Israeli shekels ($92.29), according to LSEG data and Reuters calculations.

EDGE, the UAE’s largest defence manufacturer, is state-owned and has previously collaborated with Israel Aerospace Industries (IAI) to develop unmanned vessels for tasks such as submarine detection.

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