Eric Trump Backs $1.5B Xtend Deal as JFB Shares Drop 43%

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Eric Trump Backs $1.5B Xtend Deal as JFB Shares Drop 43%

Khac Phu Nguyen

Thu, February 19, 2026 at 4:53 AM GMT+9 2 min read

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+2.95%

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This article first appeared on GuruFocus.

Eric Trump is positioning himself alongside a drone manufacturer at a time when federal policy may tilt more favorably toward the sector. He is backing Xtend in a $1.5 billion transaction that would bring the company public through a merger with JFB Construction Holdings (NASDAQ:JFB), a move that could align private capital with an administration that has prioritized defense production. Other investors in the deal include Unusual Machines Inc., a separate drone company that added Donald Trump Jr. as an adviser. Shares of JFB, which had climbed more than 450% since late September through last week, fell 43% to $17 on Tuesday, reflecting a sharp reset in investor sentiment following the announcement.

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The transaction also underscores how the Trump family’s business interests are intersecting with industries tied to national defense. Dominari Holdings Inc., a boutique investment bank headquartered in Trump Tower, worked on arranging the deal and has been involved in other Trump family ventures. The combination could place Xtend in a position to benefit if the Department of Defense succeeds in accelerating drone procurement, an area the administration has said is slowed by bureaucratic hurdles. In a statement, Eric Trump said he is incredibly proud to invest in companies he believes in, adding that drones are the wave of the future and that Xtend has significant potential.

Operationally, Xtend has already signaled traction with the Pentagon. On Nov. 11, Veterans Day, the company announced it secured a multi-million-dollar contract from the Defense Department to develop artificial intelligence-powered drones. It is also one of 25 companies competing in the first phase of the Defense Department’s $1.1 billion Drone Dominance program, which begins Wednesday at Fort Benning, Georgia, where participants will present prototypes for trial runs. As many as 12 contenders could be selected to manufacture additional drones based on performance. Separately, Donald Trump Jr. reported holding shares of Unusual Machines in 2024 that would be worth about $4 million at current prices, and 1789 Capital, where he is a partner, has backed defense-related companies including Anduril Industries, Vulcan Elements and Hadrian.

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