XTI Aerospace Secures $20M JPMorgan ABL Line to Fund Growth
XTI Aerospace’s Drone Nerds subsidiary secured a $20 million revolving asset-based lending facility with JPMorgan Chase, backed by eligible receivables and inventory. The ABL line will fund working capital, repay $10.5 million of existing Drone Nerds debt and support cash-flow-positive growth toward enterprise and government customers.
1. Asset-Based Lending Facility Terms
On February 11, 2026, certain XTI subsidiaries, including Drone Nerds, entered into a $20 million revolving asset-based lending credit facility with JPMorgan Chase, with borrowing capacity determined by eligible accounts receivable and inventory subject to advance rates and reserves.
2. Allocation of Proceeds
The facility proceeds will fund working capital, support routine dividends to XTI Aerospace and repay $10.5 million of existing indebtedness incurred during the Drone Nerds acquisition, enhancing liquidity and reinforcing a path to sustainable, cash-flow-positive growth.
3. Strategic Impact on Drone Nerds
By aligning its capital structure with operational requirements, XTI Aerospace gains financial flexibility to optimize inventory and manage its order book as Drone Nerds expands unmanned aircraft system solutions for enterprise and government customers.