JFB Construction Holdings (Nasdaq: JFB) announced that its subsidiary XTEND has advanced to the Gauntlet II phase of the U.S. Department of War's Drone Dominance Program, after completing the program's competitive qualification stage.

XTEND was among 19 companies selected to advance from an initial field of 49 participants. The qualification phase consisted of two weeks of day and night operational evaluations at Camp Grayling, Michigan, covering two mission areas: Long Range Strike and Tactical Assault in Confined Environments.

XTEND participated using its STRIKER platform, an indoor mission system powered by its proprietary XOS operating system, competing in the Tactical Assault in Confined Environments mission area. Companies advancing to Gauntlet II are required to deliver production systems for the next phase of operational testing, which is scheduled for August at Fort Carson, Colorado.

According to previously published Department of War information, the Drone Dominance Program is a $1 billion defense initiative. Following Gauntlet II, the program plans to procure 60,000 drone systems from top-performing participants.

"Advancing to Gauntlet II is an important independent validation of our technology, our team, and our ability to deliver operational capability for one of the most demanding autonomous drone evaluation programs underway today," said Aviv Shapira, Co-Founder and CEO of XTEND.

Roy Levy, General Manager of XTEND USA, said the advancement "validates the strength of STRIKER and the XOS software platform behind it, while also demonstrating our ability to rapidly manufacture and deliver operational systems in support of U.S. defense requirements."

Separately, JFB Construction Holdings and XTEND announced in February 2026 a definitive agreement to combine in an all-stock transaction. Following the close of that business combination, the joint company is expected to be renamed XTEND AI Robotics and listed on a U.S. national securities exchange under the ticker symbol "XTND."