Ultra Electronics, an international defense and aerospace company, is making an initial cash payment of $23.0 million, with a further sum of up to $5.0 million payable if certain performance-based measures are achieved by 31 December 2013.

Adaptive Materials designs and manufactures portable fuel cell power solutions in the 50–300 W range. Its solid oxide fuel cells (SOFCs) run on propane, an inexpensive fuel source which is readily available globally. The company says that propane fuel cells can deliver nine times the energy density of conventional batteries.

Adaptive Materials has developed its fuel cell technology for several applications in the defense market, including soldier-borne electronic equipment, unmanned air vehicles (UAVs) and unmanned ground vehicles (UGVs), and for remote sensors.