Gadfin Ltd. and Israel Acquisitions Corp. Announce Entry into Definitive Business Combination Agreement, Bringing the Unmanned Aerial Delivery Company to Nasdaq
Israel Acquisitions Corp (NASDAQ: ISRL) and Gadfin have entered into a definitive business combination agreement valued at up to $200 million USD. The merger will bring Gadfin, an Israeli technology company specializing in all-weather, long-range, heavy-duty drone delivery systems, to Nasdaq.
The combined company will leverage Gadfin's patented hydrogen fuel cell-powered unmanned aerial vehicles technology for delivering medical supplies and heavy-duty cargo in both civil applications and combat zones. The transaction, expected to complete in the second half of 2025, includes a minimum net cash condition of $15 million and will establish a seven-member staggered Board of Directors.
Key terms include a 6-month lock-up agreement for major shareholders and company insiders, followed by a gradual release mechanism. The boards of both companies have unanimously approved the agreement and signed voting support agreements.
Israel Acquisitions Corp (NASDAQ: ISRL) e Gadfin hanno stipulato un accordo definitivo per una fusione aziendale valutato fino a 200 milioni di dollari USA. La fusione porterà Gadfin, un'azienda tecnologica israeliana specializzata in sistemi di consegna droni pesanti e di lunga distanza in grado di operare in tutte le condizioni atmosferiche, a Nasdaq.
La società combinata sfrutterà la tecnologia brevettata di veicoli aerei senza pilota alimentati a celle a combustibile a idrogeno di Gadfin per la consegna di forniture mediche e carichi pesanti in applicazioni civili e in zone di conflitto. L'operazione, prevista per il completamento nella seconda metà del 2025, include una condizione di cassa netta minima di 15 milioni di dollari e stabilirà un Consiglio di Amministrazione composto da sette membri con rinnovo scaglionato.
I termini principali includono un accordo di lock-up di 6 mesi per i principali azionisti e i dirigenti dell'azienda, seguito da un meccanismo di rilascio graduale. I consigli di amministrazione di entrambe le aziende hanno approvato all'unanimità l'accordo e firmato accordi di supporto al voto.
Israel Acquisitions Corp (NASDAQ: ISRL) y Gadfin han firmado un acuerdo definitivo de combinación empresarial valorado en hasta 200 millones de dólares estadounidenses. La fusión llevará a Gadfin, una empresa tecnológica israelí especializada en sistemas de entrega de drones pesados y de largo alcance capaces de operar en todas las condiciones climáticas, a Nasdaq.
La empresa combinada aprovechará la tecnología patentada de vehículos aéreos no tripulados impulsados por celdas de combustible de hidrógeno de Gadfin para entregar suministros médicos y carga pesada tanto en aplicaciones civiles como en zonas de combate. La transacción, que se espera completar en la segunda mitad de 2025, incluye una condición mínima de efectivo neto de 15 millones de dólares y establecerá una Junta Directiva de siete miembros con un sistema de renovación escalonada.
Los términos clave incluyen un acuerdo de bloqueo de 6 meses para los principales accionistas y ejecutivos de la empresa, seguido de un mecanismo de liberación gradual. Las juntas de ambas empresas han aprobado unánimemente el acuerdo y han firmado acuerdos de apoyo a la votación.
이스라엘 인수 코퍼레이션 (NASDAQ: ISRL)과 가드핀이 최대 2억 달러 가치의 사업 결합 계약을 체결했습니다. 이번 합병으로 날씨에 관계없이 장거리, 중량 화물 드론 배송 시스템을 전문으로 하는 이스라엘 기술 기업 가드핀이 나스닥에 상장될 것입니다.
합병된 회사는 의료 물품과 중량 화물을 시민 응용 프로그램과 전투 지역 모두에 배달하기 위해 가드핀의 특허 받은 수소 연료 전지 구동 무인 항공기 기술을 활용하게 됩니다. 2025년 하반기에 완료될 것으로 예상되는 이번 거래에는 최소 1,500만 달러의 순 현금 조건이 포함되며, 7명의 구성원으로 이루어진 staggered 이사회가 설립됩니다.
주요 조건으로는 주요 주주 및 회사 내부자를 위한 6개월의 잠금 계약이 있으며, 그 이후 점진적으로 해제될 수 있는 메커니즘이 포함됩니다. 두 회사의 이사회 모두 합의에 만장일치를 보았으며, 투표 지원 계약에 서명했습니다.
Israel Acquisitions Corp (NASDAQ: ISRL) et Gadfin ont conclu un accord définitif de combinaison d'entreprises d'une valeur pouvant atteindre 200 millions de dollars US. La fusion permettra à Gadfin, une entreprise technologique israélienne spécialisée dans les systèmes de livraison de drones lourds et longue portée par tous les temps, de rejoindre le Nasdaq.
La société combinée tirera parti de la technologie de véhicules aériens sans pilote alimentés par des piles à hydrogène brevetées de Gadfin pour livrer des fournitures médicales et des charges lourdes tant dans des applications civiles que dans des zones de conflit. La transaction, qui devrait être finalisée dans la deuxième moitié de 2025, comprend une condition de liquidités nettes minimales de 15 millions de dollars et établira un conseil d'administration composé de sept membres avec un renouvellement échelonné.
Les conditions clés comprennent un accord de blocage de 6 mois pour les principaux actionnaires et les initiés de l'entreprise, suivi d'un mécanisme de libération progressive. Les conseils d'administration des deux sociétés ont approuvé l'accord à l'unanimité et ont signé des contrats de soutien au vote.
Israel Acquisitions Corp (NASDAQ: ISRL) und Gadfin haben eine endgültige Vereinbarung zur Unternehmenszusammenlegung in Höhe von bis zu 200 Millionen USD getroffen. Die Fusion wird Gadfin, ein israelisches Technologieunternehmen, das sich auf Allwetter-, Langstrecken- und Schwerlast-Drohnensysteme spezialisiert hat, an das Nasdaq bringen.
Das kombinierte Unternehmen wird die patentierte Technologie der Wasserstoff-Brennstoffzellen-betriebenen unbemannten Luftfahrzeuge von Gadfin nutzen, um medizinische Lieferungen und schwere Fracht sowohl in zivilen Anwendungen als auch in Konfliktgebieten zu liefern. Die Transaktion, die in der zweiten Hälfte des Jahres 2025 abgeschlossen werden soll, beinhaltet eine Mindestnetto-Barkaution von 15 Millionen USD und wird einen siebenköpfigen gestaffelten Vorstand einrichten.
Wichtige Bedingungen umfassen einen 6-monatigen Lock-up-Vertrag für Hauptaktionäre und Unternehmensinsider, gefolgt von einem schrittweisen Freigabemechanismus. Die Vorstände beider Unternehmen haben die Vereinbarung einstimmig genehmigt und Stimmrechtsunterstützungsverträge unterzeichnet.
- Strategic merger valued at up to $200M USD
- Access to public markets through Nasdaq listing
- Patented technology in growing drone logistics sector
- Unanimous board approval from both companies
- Minimum $15M net cash requirement could pose closing risk
- Extended timeline to completion (H2 2025)
- 6-month lock-up period may affect stock liquidity
Insights
The SPAC merger announcement between Israel Acquisitions Corp and Gadfin marks a strategic entry into the rapidly expanding drone delivery market, which is projected to reach
Several key financial aspects warrant attention:
- The
$15 million minimum net cash condition provides a reasonable capital base for initial operations while protecting against excessive redemptions - The 6-month lock-up period with gradual release mechanism helps prevent immediate selling pressure and demonstrates insider confidence
- The staggered board structure with up to 7 directors ensures balanced governance while maintaining operational continuity
Gadfin's hydrogen-powered technology offers a compelling competitive advantage in the logistics sector. Unlike traditional battery-powered drones, hydrogen fuel cells provide longer flight times and faster refueling, important for commercial viability. The company's focus on heavy-duty cargo and all-weather capabilities positions it uniquely in both civilian and military applications, potentially opening multiple revenue streams.
The transaction's scheduled completion in H2 2025 allows adequate time for regulatory approvals and shareholder votes, while the retention of existing management ensures operational continuity. The involvement of experienced tech leaders like Izhar Shay and Ziv Elul adds credibility to the business scaling strategy.
Gadfin's hydrogen fuel cell technology marks a paradigm shift in drone delivery capabilities. The system offers three critical advantages over traditional lithium-ion powered drones:
- Extended flight range due to hydrogen's higher energy density
- Rapid refueling compared to battery charging times
- Consistent performance in varying weather conditions
The technology's application in combat zones suggests robust engineering capable of operating in harsh environments. This dual-use capability (civil and military) significantly expands the addressable market and potential revenue streams. The heavy-duty cargo capacity addresses a important gap in the current drone delivery ecosystem, where payload limitations have historically restricted commercial applications.
From an infrastructure perspective, the hydrogen powertrain may require specialized refueling stations, but these could be integrated into existing logistics networks. The all-weather capability is particularly significant for medical supply deliveries and emergency services, where reliability is paramount regardless of environmental conditions.
TEL-AVIV, Israel, Jan. 27, 2025 (GLOBE NEWSWIRE) -- Israel Acquisitions Corp. (NASDAQ: ISRL, ISRLU, ISRLW), (“ISRL”), a publicly-traded special purpose acquisition company, and Gadfin Ltd. (“Gadfin”), an Israeli technology company specializing in all-weather, long range, heavy-duty, drone delivery for essential cargo, today announced the entry into a definitive business combination agreement reflecting a total equity value of Gadfin of up to
Through Gadfin’s patented technology, its unmanned aerial vehicles which are powered by hydrogen fuel cells can deliver medical supplies and other heavy-duty cargo to long-range destinations and in harsh weather conditions. Gadfin’s technology makes it possible to significantly improve logistics delivery in both civil uses and combat zones. Gadfin is well-positioned to be a leading player in drone cargo delivery.
Upon completion of the transaction, Gadfin aims to achieve a great growth plan based on existing contracts and potential new wins.
Transaction Details:
- The Board of Directors of both ISRL and Gadfin have unanimously approved the Business Combination Agreement and signed voting support agreements in favor of the transaction.
- Minimum net cash condition precedent to closing of
$15 million . - The combined company’s staggered Board of Directors will initially be comprised of up to seven directors, of which one director will be nominated by ISRL and up to four directors will be nominated by Gadfin. Up to two additional directors will be mutually agreed. Existing Gadfin management will operate the combined company.
- The parties anticipate completing the business combination in the second half of 2025, contingent upon satisfying all closing conditions, including shareholder approvals, regulatory consents, and compliance with legal and tax requirements.
- Gadfin’s officers, directors, and >
5% shareholders, as well as ISRL’s sponsor will enter into a 6-month lock-up agreement, followed by a gradual release mechanism, from the closing of the business combination. - At the closing of the transaction, Gadfin will be listed on Nasdaq in the United States.
Izhar Shay, Chairman of ISRL's Board of Directors: “This business combination agreement marks a significant milestone, aligning well with the vision we set forth when launching our SPAC. Gadfin's innovative hydrogen-powered drones, capable of long-range, zero-emission deliveries, position the company to seize numerous growth opportunities in the drone logistics industry, both in the U.S. and globally. We believe this is an exceptional company to take to the Nasdaq.”
Eyal Regev, Gadfin's Founder and CEO: “We are thrilled to announce this business combination, marking a pivotal milestone for Gadfin and underscoring the confidence placed in us by leaders in the hi-tech and financial sectors in Israel and the United States. We deeply appreciate the trust and business expertise of the ISRL team, particularly Ziv Elul and Izhar Shay, whose strategic guidance and proven ability to scale businesses will be invaluable in driving Gadfin’s growth. Together, we are committed to accelerating technological innovation and expanding Gadfin’s global presence. Our gratitude also extends to the dedicated teams at Gadfin and ISRL for their tireless efforts in advancing this merger.”
Advisors:
Tiberius Capital Markets, a division of Arcadia Securities is acting as financial advisor to Israel Acquisitions Corp, with Reed Smith LLP, and Stuarts Humpries acting as legal advisors.
Herzog, Fox, and Neeman is acting as legal advisor to Gadfin.
About Gadfin Ltd.:
Gadfin is a pioneering technology company revolutionizing the logistics and cargo delivery industry with its innovative hydrogen-powered drones. Specializing in long-range, heavy-duty, zero-emission aerial delivery, Gadfin provides cutting-edge solutions for time-critical, essential cargo transport, especially to less accessible areas. Gadfin’s proprietary technology is designed to address the evolving needs of sectors such as healthcare, logistics, and industrial supply chains, enabling efficient, sustainable, and reliable deliveries across urban and remote areas.
Led by Eyal Regev, one of the earliest pioneers of the vertical take-off and landing (“VTOL”) cargo delivery vision, Gadfin’s comprehensive approach includes innovative VTOL design, state-of-the-art drone manufacturing, advanced operational platforms, and tailored support services, ensuring seamless integration into its clients’ logistics frameworks. Headquartered in Israel, Gadfin is pioneering the way in transforming how goods are transported, helping its partners meet the demands of the modern world while reducing environmental impact. Backed by prominent investors, SIBF VC (www.sibf.vc) and Gehr Group (www.gehr.com), Gadfin is poised to lead the charge in sustainable and efficient logistics solutions.
About Israel Acquisitions Corp.:
Israel Acquisitions Corp is a Cayman Islands exempted company incorporated as a blank-check company. Formed for the purpose of entering into a merger, share exchange, asset acquisition, stock purchase, recapitalization, reorganization or similar business combination with one or more businesses or entities. The Company intends to focus on high-growth technology companies that are domiciled in Israel, and that either carry out all or a substantial portion of their activities in Israel or have some other significant Israeli connection. The management team is led by Chairman, Izhar Shay, Chief Executive Officer, Ziv Elul, and Chief Financial Officer, Sharon Barzik Cohen.
Forward-Looking Statements:
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of present or historical fact included herein, regarding the proposed business combination ISRL and Gadfin, ISRL and Gadfin’s ability to consummate the transaction, the expected closing date for the transaction, the benefits of the transaction and the public company’s future financial performance following the transaction, as well as ISRL’s and Gadfin’s strategy, future operations, financial position, estimated revenues, and losses, projected costs, prospects, plans and objectives of management are forward looking statements. When used herein, including any oral statements made in connection herewith, the words “anticipates,” “approximately,” “believes,” “continues,” “could,” “estimates,” “expects,” “forecast,” “future, ” “intends,” “may,” “outlook,” “plans,” “potential,” “predicts,” “propose,” “should,” “seeks,” “will,” or the negative of such terms and other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Such forward-looking statements are subject to risks, uncertainties, and other factors, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by both ISRL and its management, and Gadfin and its management, as the case may be, are inherently uncertain. Except as otherwise required by applicable law, ISRL disclaims any duty to update any forward-looking statements, all of which are expressly qualified by the statements in this section, to reflect events or circumstances after the date hereof. ISRL cautions you that these forward-looking statements are subject to risks and uncertainties, most of which are difficult to predict and many of which are beyond the control of ISRL. There may be additional risks that neither ISRL nor Gadfin presently know of or that ISRL or Gadfin currently believe are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. Nothing in this communication should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. Author and any of their affiliates, directors, officers and employees expressly disclaim any obligation or undertaking to disseminate any updates or revisions to any forward-looking statement to reflect events or circumstances after the date on which such statement is being made, or to reflect the occurrence of unanticipated events.
Additional Information and Where to Find It:
Additional information about the proposed business combination, including a copy of the business combination agreement, is disclosed in the Current Report on Form 8-K that ISRL filed with the SEC on January 27, 2025 and is available at www.sec.gov. In connection with the proposed transaction, the Company intends to file a registration statement, which will include a preliminary proxy statement/prospectus with the SEC. The proxy statement/prospectus will be sent to the stockholders of the Company. The Company and Gadfin also will file other documents regarding the proposed transaction with the SEC. Before making any voting decision, investors and security holders of the Company are urged to read the proxy statement/prospectus and all other relevant documents filed or that will be filed with the SEC in connection with the proposed transaction as they become available because they will contain important information about the proposed transaction.
No Offer or Solicitation:
This communication is for informational purposes only and shall not constitute a solicitation of a proxy, consent or authorization with respect to any securities or in respect of the Business Combination. This communication shall also not constitute an offer to sell or the solicitation of an offer to buy any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act, or an exemption therefrom.
Investor Contact:
contact@israelspac.com
FAQ
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