Tessera Defense raises MEA Testing stake to 15% in amended deal

Tessera Defense and Homeland Security Inc. (NYSE American: HLSQ) has amended an investment agreement to increase its equity stake in M.E.A. Testing Systems Ltd., an Israeli drone-related testing technology company, from 10% to 15%, according to a company statement.

Under the amended terms, Tessera will acquire the 15% interest for $50,000 in cash and 130,000 shares of Tessera common stock, with an additional 65,000 shares subject to NYSE American approval. Tessera also agreed to provide MEA with a convertible loan facility of up to $475,000 to fund working capital and drone-related activities. The loan may be converted into additional equity in MEA at Tessera's option, pending NYSE American approval.

As part of the closing, Tessera will receive an exclusive, perpetual, worldwide license for MEA's technology and know-how. Tessera also holds an exclusive option, secured under the original agreement, to acquire the remaining interest in MEA held by its majority shareholder, Motomova Inc. (OTC: MTMV), at a price based on MEA's audited results for fiscal year 2027.

MEA, also known as Motomea, develops electric motor and rotating-machine testing solutions for clients in the aerospace, automotive, energy, industrial, and transportation sectors. The company holds patents on load-free inertial dynamometer systems for motor performance evaluations.

"Drone threats are now a reality at every site we protect, and effective defense begins with rigorous testing," said Michael Oster, CEO of Tessera. "MEA adds a critical testing capability to Tessera's AI-driven security platform."

Following the transaction, MEA will remain majority owned by Motomova, and its management will remain unchanged. Tessera is headquartered in Netanya, Israel.

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