DroneShield shares continue rally amid EU drone wall discussions
Make us a preferred source
Make us a preferred source on Google
The news: DroneShield shares led gains on the ASX 200 as the European Union considered a proposal to build a ‘drone wall’ after a spate of airspace incursions in Denmark.
The numbers: At 12:09pm AEST, DroneShield shares were up 14.4% to $5.33. The ASX 200 was down 0.3%.
Shares in rival counterdrone technology manufacturer Electro Optic Systems gained just 0.2% to $10.24. It announced on Monday that several contract opportunities expected to be signed the third quarter of 2025 had been delayed, potentially to 2026.
Meanwhile, ASX-listed Israeli drone communications system producer Elsight’s share price gained 13.1% to $1.90.
The context: Bell Potter analyst Baxter Kirk told Capital Brief that the recent stock price surge for DroneShield was likely spurred by a European proposal to fund additional counter drone equipment following unidentified drone incursions around Danish airports last week.
European Union (EU) leaders will meet in Copenhagen on Wednesday to discuss four projects proposed by the European Commission for improving security, including a proposal for a ‘drone wall’ against Russian aggression.
Kirk also noted that NATO secretary general Mark Rutte overnight praised the proposal as “timely and necessary”.
The three defence project proposals up for discussion by the EU leaders include the Eastern Flank Watch to improve detection of hybrid operations and drone threats, the Air Defence Shield to boost missile defence capabilities and the Defence Space Shield to boost space domain awareness.
