# OSC Backs Neros Drone Production in Torrance

In November 2026, the Department of War’s Office of Strategic Capital conditionally committed up to **$450 million** in financing to Neros for expanded U.S. production of small military drones and critical components in Torrance, California. The financing has not closed and remains subject to financial, legal, technical, investment, and due-diligence requirements. Neros plans to contribute $165 million in equity toward a $615 million project. Separately, Neros received a September 2026 order worth more than $100 million for 14,000 drones and explosive payloads through the Pentagon’s Drone Dominance Program.

- The financing is a conditional commitment, not a finalized loan or an open solicitation. Suppliers should not treat it as an active bid opportunity.
- The planned production expansion may create supply-chain opportunities for motors, radios, flight electronics, sensors, and batteries; firms in these areas can assess whether their capabilities fit Neros’ potential production needs.
- The separate Drone Dominance order provides evidence of near-term demand for Neros’ systems, while the financing proposal signals federal support for expanding domestic military-drone manufacturing.

**Jurisdictions:** federal
**Industries:** Defense & Military
**Topics:** Grants & Funding
**Published:** November 10, 2026

### Government Entities
- U.S. Department of War (DoW)
- Office of Strategic Capital (OSC)

### Vendors
- Neros (Conditional-loan recipient and drone manufacturer; awardee of a Drone Dominance Program order)

### Sources
- [Pentagon Commits $450 Million to U.S. Drone Manufacturing - DRONELIFE](https://dronelife.com/2026/11/10/pentagon-neros-us-drone-manufacturing-loan) - Dronelife