LAS VEGAS, Nev
Acquisition brings a novel, untethered, multi-shot electric shock projectile portfolio into the combined company, uniting less-lethal engagement and counter-drone protection from a single ecosystem. WCCP will enter a binding LOI for a share exchange with XLabs and a corporate rebrand to War Labs Defense Technologies, Inc.
WealthCraft Capital, Inc. (OTC PINK: WCCP), a publicly traded holding company pending rebrand to War Labs Defense Technologies, Inc., today announced that XLabs has entered into a definitive agreement to acquire a portfolio of intellectual property covering a novel, untethered, multi-shot electric shock projectile engineered for law enforcement, military, homeland security, correctional, and allied government end users. The acquired portfolio is expected to be contributed to the combined company on completion of the contemplated share exchange described below.
This acquisition represents the next step in the Company’s strategy to build a full-stack defense technology platform that spans non-lethal munitions and counter-UAS effects — connecting the moment a use-of-force decision is made to the tools available at the point of engagement. The acquired portfolio consists of an issued U.S. utility patent and design patent, a corresponding international patent application, and associated know-how and trade secrets covering a battery-powered, self-contained, launcher-independent conducted-energy projectile designed to be fielded from platforms already in service — including standard-issue 5.56 × 45mm NATO service rifles and .68 caliber launchers.
“This transaction is intended to place a USPTO-protected less-than-lethal platform inside a public company built to scale it,” said David N. Spriggs, Chief Executive Officer, WealthCraft Capital, Inc. “The rebrand to War Labs Defense Technologies gives shareholders exposure to an intellectual-property-first defense business at a moment when law enforcement and military end users are demanding proportional, accountable, and interoperable use-of-force technologies — engineered to work with the launcher, weapon, and magazine platforms already in the field.”
By combining an untethered, multi-shot electro-muscular incapacitation round with the Company’s 40mm high-power microwave (HPM) counter-UAS munition, the Company intends to offer end users a single ecosystem across less-lethal engagement and counter-drone protection. Following completion of the transactions contemplated by the announced binding letter of intent (described below), the Company’s product ecosystem is expected to include:
- 5.56 × 45mm NATO electro-muscular incapacitation round — designed for standard-issue 5.56 / .223 service rifle platforms, allowing operators to deploy the round from a weapon they already carry. As designed, delivery is via a dual barbed probe, with a target neuromuscular incapacitation effect of approximately 500 mA for 10–30 seconds, fed from a charged smart magazine with at-a-glance status indication. Performance characteristics reflect current design targets and are subject to ongoing testing and qualification.
- 68 caliber electro-muscular disruption round — a launcher-compatible variant intended to support patrol, tactical, corrections, and training applications from widely fielded .68 caliber launchers.
- 40mm high-power microwave (HPM) counter-UAS round — a 40mm munition intended to be compatible with widely fielded 40mm launcher platforms and engineered to defeat hostile small unmanned aerial systems at standoff through a directed HPM effect, providing dismounted units and installation-protection teams a soft-kill counter-drone capability from a launcher already in the field. Product capabilities are in development and subject to testing and qualification.
The global non-lethal weapons market is projected to reach approximately USD 15 billion by 2030, growing at a compound annual growth rate of approximately 6% from 2022 to 2030, according to a strategic report distributed by Business Wire on behalf of ResearchAndMarkets (Business Wire / ResearchAndMarkets, 2024). Within that market, the global less-lethal ammunition sub-segment is projected to reach approximately USD 1.49 billion by 2030, at a compound annual growth rate of approximately 4.9% from 2024 to 2030, according to Grand View Research (Grand View Research, 2024). Demand is being driven by heightened public and regulatory expectations around proportional use of force, the operational need for non-lethal options in populated combat and homeland-defense environments, and the rapid proliferation of small unmanned aerial systems that is expanding the counter-UAS munitions category alongside traditional less-lethal use cases.
The Company is focused on developing and commercializing products engineered for rapid deployment to two primary end-user channels: the warfighter and law enforcement. The Company is also evaluating a retail civilian channel that could serve owners of AR-15 platforms and widely fielded less-lethal launchers, subject to applicable U.S. federal, state, and local regulatory frameworks (including ATF, state-level less-lethal restrictions, and export-control laws). By designing rounds and munitions that are compatible with launcher, weapon, and magazine platforms already in service — rather than requiring new hardware — the Company intends to shorten the path from procurement to fielded capability for military and law-enforcement end users. Any civilian distribution would be conducted only in jurisdictions and through channels permitted by law.
Certain of the Company’s products and technologies are or will be subject to U.S. export controls administered under the International Traffic in Arms Regulations (ITAR) and/or the Export Administration Regulations (EAR), and their manufacture, sale, and export will require applicable U.S. government authorizations.
Corporate Update
Separately, WCCP will enter into a binding letter of intent (the “binding LOI”) with XLabs for a contemplated share exchange and corporate restructuring, including a name change to War Labs Defense Technologies, Inc. (ticker expected to remain WCCP, subject to FINRA Rule 6490 processing), while definitive documentation is completed. Under the binding LOI framework, WCCP would issue equity for 100% of XLabs, and XLabs would become a wholly owned operating subsidiary. The number of shares to be issued in the share exchange, the resulting pro-forma ownership, any related-party relationships, and other material terms will be disclosed upon execution of definitive documentation and in the Company’s subsequent OTC Markets disclosures. Management believes these steps, together with the less-lethal ammunition patent acquisition, are intended to align the issuer with a USPTO-protected less-than-lethal defense and public-safety technology platform. Closing remains subject to definitive documentation, customary conditions, and any required corporate, regulatory, FINRA, and OTC Markets processes. There can be no assurance that a binding definitive agreement will be entered into or that the transactions contemplated by the binding LOI will close on the terms described or at all.
About WealthCraft Capital, Inc.
WealthCraft Capital, Inc. (OTC PINK: WCCP) is a Las Vegas, Nevada–based publicly traded holding company that acquires and develops controlling interests in operating businesses and strategic intellectual-property assets. Following the transactions contemplated by the binding LOI with XLabs and the pending rebrand to War Labs Defense Technologies, Inc., the Company is being positioned as a U.S. defense technology platform focused on non-lethal and lethal defense systems and counter-UAS munitions for law enforcement, military, homeland security, correctional, and allied government end users. Additional information about the Company is available on the OTC Markets website at otcmarkets.com/stock/WCCP.
War Labs Defense Technologies is the pending rebranded name of the Company’s operating platform, being built around a portfolio of proprietary, patent-protected non-lethal and lethal defense systems and counter-UAS munitions. War Labs’ mission is to deliver proportional, accountable, and interoperable use-of-force technologies to law enforcement, military, homeland security, correctional, and allied government end users — engineered to integrate with the launcher, weapon, and command-and-control platforms already in the field.
Please visit otcmarkets.com/stock/WCCP where WealthCraft Capital, Inc. discloses information about the Company, its corporate actions, and its business.
Media and Investor Contact
WealthCraft Capital, Inc. (pending rebrand to War Labs Defense Technologies, Inc.)
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Email: [email protected]
Phone: (702) 323-6704
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including, without limitation, statements regarding the anticipated closing of the electric shock projectile patent-portfolio acquisition by XLabs and the expected contribution of the acquired portfolio to the combined company; the anticipated entry into a binding letter of intent and definitive documentation for the share exchange with XLabs and the resulting corporate restructuring; the number of shares expected to be issued and resulting pro-forma ownership; the anticipated market opportunity for less-than-lethal electric shock projectiles and related non-lethal weapons; the Company’s pending corporate name and ticker change and related FINRA Rule 6490 processing; product development plans, design targets, and expected capabilities across the Company’s electro-muscular incapacitation product family and its 40mm HPM counter-UAS munition; anticipated expansion into broader counter-UAS systems and adjacent technologies; targeted customer segments (including the warfighter, law enforcement, and any future civilian retail channel); intellectual property strategy; and business strategy and objectives. Forward-looking statements are based on management’s current expectations and assumptions and are subject to known and unknown risks, uncertainties, and other factors that could cause actual results to differ materially, including: the ability to execute definitive documentation and satisfy the closing conditions for the contemplated share exchange; the ability to protect, prosecute, and enforce the acquired intellectual property; the success of ongoing product development, testing, and qualification, and whether design targets translate into fielded performance; the treatment of any prior shell-company status of the Company and related resale limitations under Rule 144(i); regulatory approvals and processes (including FINRA Rule 6490 and OTC Markets review of any name and ticker change; ATF classification and state-level restrictions on conducted-energy devices and less-lethal munitions; and DDTC, BIS, and other applicable licensing and export-control approvals under the ITAR and EAR); market and customer acceptance; competition; the availability of capital; and general economic and industry conditions. Third-party market data cited herein is drawn from publicly available industry reports and is included for context only; the Company has not independently verified such data and makes no representation as to its accuracy or completeness. The Company undertakes no obligation to update any forward-looking statement except as required by law.
This press release does not constitute an offer to sell or a solicitation of an offer to buy any securities, and no securities may be offered or sold in any jurisdiction in which such offer, solicitation, or sale would be unlawful. Any offering of securities by the Company will be made only pursuant to definitive offering documents and in compliance with applicable federal and state securities laws.
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