Dronamics, which claims to be the world’s first cargo drone airline with license to operate in Europe, has raised US$40 million in pre-Series A funding from venture capital funds and angel investors from 12 countries as the company approaches its upcoming Series A round.
Founded in 2014 and based in Bulgaria and London, Dronamics develops and operates large, long-range drones built specifically for cargo. Its flagship Black Swan can carry 350 kg (770 lb) at a distance of up to 2,500 km (1,550 miles) up to “80% faster, 50% cheaper and with up to 60% lower emissions than alternative modes of transport, including airfreight,” the firm claims.
Dronamics drones have been developed for same-day shipping requirements over very long distances for a variety of industries, including pharma, food, and e-commerce. The company is Europe’s first licensed cargo drone airline and IATA’s first Strategic Partner for drones worldwide.
Investor details
According to Dronamics, the pre-Series A funding includes funds received from Founders Factory, Speedinvest, SeedBlink, Eleven Capital, and most recently the Strategic Development Fund (SDF) – the investment arm of the Tawazun Council, an independent government entity that works closely with the Ministry of Defense and security agencies in the UAE.
“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,” said Svilen Rangelov, co-Founder and CEO at Dronamics. “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.”
UAE operations
SDF venture capital division’s investment in Dronamics funding is a step in the creation 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 main hubs for the Middle East and North Africa region. SDF shall, through the establishment of a manufacturing and operations joint venture, become a main partner in the UAE-based JV with additional significant investment.
“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,” said Abdulla Naser Al Jaabari, Managing Director and CEO of SDF. “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 US$40 million is in addition to the €2.5 million (US$2.7 million) grant Dronamics was awarded by the European Commission under the selective deep-tech European Innovation Council (EIC) Accelerator program, and the EIC’s material commitment to support Dronamics’ Series A round with another €12.5 million (US$13.45 million) in equity investment.
