Electro Optic Systems Holdings Limited has executed an agreement to acquire the business of MARSS Group, a European leader in advanced command-and-control (C2) systems critical for modern counter-drone defence. This strategic move transforms EOS from a premier supplier of hardware components into a full-spectrum, integrated systems provider with formidable AI and software capabilities.
MARSS is renowned for its proprietary NiDAR system, an AI-enabled C2 platform that orchestrates sensors and effectors to rapidly detect, identify, and neutralise asymmetric drone threats. By integrating this best-in-class “brain” with its own world-leading effector and sensor technologies, EOS will now offer a complete, end-to-end counter-unmanned aerial system (C-UAS) solution. This seamless “Detect → Identify → Decide → Defeat” capability positions the company to act as a Prime Contractor on larger, higher-value programs for military, homeland security, and critical infrastructure protection, such as airports and power plants.
The acquisition includes the NiDAR technology, all associated intellectual property, customer contracts, and personnel. Beyond transforming its product offering, EOS will leverage the deal to expand its geographic footprint and strengthen its in-house AI and software development capacity. A key innovation will be embedding NiDAR’s AI into EOS’s existing remote weapon systems, enabling networked vehicle fleets to achieve unprecedented hemispherical defence against drone swarms.
Financially, the transaction is structured as an asset acquisition. EOS will pay an upfront cash consideration of US$36 million (approximately A$54 million), with further potential earnouts linked to new MARSS sales success, capped at €100 million (approximately A$174 million). The upfront payment is expected to be funded from existing cash reserves. The acquisition is anticipated to be broadly neutral for earnings and operating cashflow in 2026, with completion subject to standard regulatory and customer approvals expected later this year.
