United Arab Emirates (UAE)-based defence and technology firm EDGE Group has formalised a cooperation agreement with Italy’s ELT Group to collaborate on electronic warfare (EW) capabilities for the Kuwait Navy’s missile boats.
This agreement builds on a letter of intent (LoI) signed by the two companies in February 2025, which aims to strengthen joint capabilities across electronic defence, electromagnetic attack, intelligence, surveillance, reconnaissance, and homeland security and infrastructure safety.
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As part of the latest agreement, the two parties will continue discussions around the delivery of EW systems, with ELT identified as the preferred supplier for the programme.
In a statement, ELT Group said: “The letter reflects both parties’ shared intent to accelerate the process and collaborate towards formalising the contract.
“It marks the first significant milestone in their partnership, which also includes plans for the potential establishment of a joint venture in the UAE.”
The potential joint venture between ELT and EDGE, also announced in February, would focus on developing EW systems, including cyber electromagnetic applications. EDGE said there is a possibility that these technologies might be incorporated into ships constructed by its maritime arm, Abu Dhabi Ship Building (ADSB), and Maestral.
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By GlobalDataAccording to GlobalData report, Kuwait’s defence budget for 2024 stood at $6.1bn, with an anticipated compound annual growth rate (CAGR) exceeding 3% from 2025 to 2029.
The report notes that factors such as modernisation initiatives and territorial disputes are expected to drive increased expenditure in Kuwait’s defence sector.
Consequently, Kuwait is becoming an increasingly appealing market for defence within the Middle East region “since it is dependent on others to fulfil its military needs”, says the report.
Earlier in June 2025, EDGE secured a Dh9bn ($2.45bn) defence contract with the Kuwait Ministry of Defence for Falaj 3 62m missile boats.
As the prime contractor, EDGE will oversee design, construction, trials, and delivery, along with integrated logistics support and in-service support. It
will also supply ammunition for the vessels. ADSB is the designated build subcontractor.
The Falaj 3-class missile boat is also selected by the UAE Navy, with the first vessel, ALTAF, commissioned in February this year.
