Jeffs’ Brands announces LOI with Sky Growth to invest in anti-drones market

Jeffs’ Brands announced it signed a non-binding letter of intent, or “LOI,” with Sky Growth Partners Ltd. to invest in an innovative Digital Light Processing laser-based system for counter-drone solutions, initially for the defense sector. “According to the LOI, as previously announced on December 14, Sky Growth will establish and transfer all of its rights in the technology to a new Israeli company that will develop, manufacture and market the technology. Following an investment of $2M by Jeffs’ Brands, it will hold a 70% equity interest in NewCo. In addition, pursuant to the terms of the LOI, the company will establish a credit line of up to $250,000 bearing an annual interest of 8% for the utilization by NewCo for a limited time period, subject to certain conditions as to be approved by the parties. The LOI also includes certain milestone conditions that if achieved by NewCo, will grant the founders, for no additional consideration, additional equity interests in NewCo… The Investment is subject to the successful completion of due diligence, the execution of binding definitive agreements with respect to the Investment and compliance with any regulatory requirements and approvals,” Jeffs’ Brands stated.