Dronamics, a cargo drone airline with a license to operate in Europe, has raised £33 million ($40 million) in pre-Series A funding.
As the company prepares for its upcoming Series A round, the funds were raised from a mix of venture capital funds and angel investors from 12 countries.
This sum includes funds from the Strategic Development Fund (SDF), the investment arm of the Tawazun Council in Abu Dhabi, apart from others like Founders Factory, Speedinvest, SeedBlink and Eleven Capital.
Dronamics is the first cargo drone airline in the world. Its flagship Black Swan can transport 350 kg (770 lb) over a distance of up to 2,500 km, up to 80 per cent faster, 50 per cent cheaper, and with up to 60 per cent lower emissions than alternative modes of transportation, including airfreight.
This enables same-day shipping over long distances for e-commerce platforms.
Svilen Rangelov, co-founder and CEO at Dronamics, said, “the investment from SDF, Founders Factory, Speedinvest, and Eleven Capital is a strong validation of our goal to bring our cargo drone solution to more people and businesses around the world.
“Their confidence in Dronamics confirms the strength of our business model and we are excited to continue growing and achieving success with the support of our investment partners.”
The investment by SDF’s venture capital division in Dronamics funding is a step toward the formation of a UAE-based joint venture that will expand Dronamics capacity and support the future establishment of Dronamics’ operations in the UAE as one of the region’s main hubs.
SDF will become a major partner in the UAE-based joint venture by establishing a manufacturing and operations joint-ventures and investing significantly more.
Abdulla Naser Al Jaabari, managing director and CEO of SDF, said: “SDF looks at investing in aerospace and mobility companies that can improve movement of humans and cargo autonomously in a sustainable and cost effective manner.
“When it comes to Dronamics, their economics are very promising and potential users of Dronamics would benefit from quick and efficient cargo deliveries.
“As one of Dronamics’ latest strategic investors, SDF will be working closely to support the ongoing growth of the company through the UAE and globally.”
The $40 million is in addition to the €2.5 million ($2.7 million) grant Dronamics received from the European Commission through the selective deep-tech European Innovation Council (EIC) Accelerator programme, as well as the EIC’s material commitment to support Dronamics’ Series A round with an additional €12.5 million ($13.45 million) in equity investment.
