Shares of Ondas Holdings Inc. (ONDS) surged 5.02% during intraday trading on Monday. The significant upward movement followed the company's announcement of a strategic acquisition.

The company has entered into a definitive agreement to acquire Rotron Aero, a UK-based developer of advanced unmanned aerial systems and long-range autonomous platforms. The acquisition is designed to expand Ondas' defense and security portfolio by adding long-range strike capabilities, next-generation autonomous attack systems, and access to the UK and NATO defense ecosystems. Ondas stated the move accelerates its roadmap towards providing end-to-end autonomous mission capabilities for military and government customers.

Consideration for the transaction will be a mix of cash and stock, subject to customary closing conditions and regulatory approvals. Market participants reacted positively to the news, viewing the acquisition as a growth catalyst that strengthens Ondas' position in the autonomous defense systems market.