Australia's DroneShield mandates minimum executive shareholding, shares jump

DroneShield

22/12/2025 03:05

Dec 22 (Reuters) - Shares of Australia's DroneShield DRO.AX jumped to a more than one-month high on Monday after the company said it would require all directors and senior management including the CEO to hold a minimum shareholding.

Shares of the drone technology firm, which have soared nearly four-fold in value this year bolstered by contract wins and robust earnings, rose as much as 9% to A$3.03 by 0211 GMT, while the broader benchmark index .AXJO climbed 0.9%.

The move comes after DroneShield disclosed in mid-November that its top executives, including CEO Oleg Vornik and Chairman Peter James, had sold their shareholdings in the company for an aggregate A$70 million ($46.35 million) over six-day period.

The announcement saw a 48% selloff in DroneShield shares last month and an independent review of the company's governance framework.

Under the new measures, the board will establish a mandatory minimum shareholding policy under which the chief executive will have to hold shares worth 200% of annual salary within a year of the policy establishment.

All directors will be required to hold shares worth annual base fee within three years of the policy establishment.

The Sydney-based firm will undertake a review of director and executive pay, and issue an update in its remuneration report in February next year, the company said.

     ($1 = 1.5103 Australian dollars)

 (Reporting by John Biju in Bengaluru; Editing by Subhranshu Sahu)

 ((John.Biju@thomsonreuters.com;))