The Defense Ministry is delaying approval of a planned takeover of Amprest Systems, a company that develops command-and-control software for the Iron Dome air defense system, amid concerns over foreign control of sensitive defense technology, according to people familiar with the matter.
The deal would give U.S.-listed holding company Ondas Holdings control of Amprest, whose software plays a central role in Iron Dome and other air defense systems. Ondas is seeking to buy out Amprest’s shareholders for about $100 million, valuing the company at more than $200 million. If completed, the transaction would leave Rafael Advanced Defense Systems, the developer and manufacturer of Iron Dome, as a minority shareholder.
Amprest’s largest shareholder today is Rafael. The remaining shares are held by Amprest founder and CEO Natan Barak, the OurCrowd investment platform and other investors.
The transaction is being reviewed by the Defense Ministry’s Department for Security of the Defense Establishment, known by its Hebrew acronym Malmab, headed by Yuval Shimoni. Officials involved in the review have raised concerns about a foreign company gaining control of Amprest given its classified activities tied to Iron Dome and other air defense programs.
People close to the deal said the prolonged review has delayed the transaction for several months, with no clear timeline or outcome. The holdup has underscored tensions inside the Defense Ministry between efforts to attract foreign investment into defense technology and strict security oversight that can slow or block such deals.
Amprest was founded about 25 years ago by Barak, a retired Navy officer with the rank of colonel. Its profile rose roughly 15 years ago after its command-and-control software was integrated into Iron Dome. In 2012, Amprest received the Israel Defense Prize for its role in developing the air defense system.
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