Italian defence company Leonardo signed a deal worth €320 million (Dh1.3 billion) with the UAE’s Edge Group unit Abu Dhabi Ship Building to provide advanced naval combat systems for the Kuwait navy’s missile boat programme.The agreement to provide combat systems for the Falaj 3 configuration for the Al Dorra missile boat programme comes as geopolitical tensions remain high in the region as a result of the Iran war.“This contract represents a significant milestone in the strategic partnership with Edge and ADSB,” Leonardo said in a statement on Wednesday, which Edge also confirmed to The National. “It reinforces a well-established and successful collaboration that has already led to the delivery of more than 25 naval units.”Edge, set up in 2019, specialises in building advanced technology for weapons systems, cyber protection and electronic warfare, with more than 35 companies under its umbrella. The company played a key role in defending the UAE after Tehran fired a barrage of missiles and drones targeting the Emirates’ key infrastructure and energy sites. More than 85 per cent of drones were tackled by jammers developed by Edge Group.“It’s all manufactured in the UAE and has been deployed in such a short time,” Hamad Al Marar, managing director and chief executive of Edge, told The National in an interview at the Make it in the Emirates event in Abu Dhabi earlier this month. “We are very proud that we were readily available in times like this.” Play02:52The National tours Abu Dhabi Ship BuildingLast year, Edge announced the signing of a Dh9 billion ($2.45 billion) defence contract with the Kuwait Ministry of Defence for the supply of Falaj3 62-metre missile boats, marking the largest naval shipbuilding export in the region. ADSB is building the naval vessels for Kuwait army.World military expenditure reached nearly $3 trillion in 2025, an increase of 2.9 per cent from 2024, according to the Sweden-based think tank Stockholm International Peace Research Institute (Sipri).The top three military spenders – the US, China and Russia – spent $1.48 trillion, or 51 per cent of the global total, Sipri said last month.ADSB, which reported a revenue of Dh1.4 billion last year, aims to more than double its revenue to Dh3 billion in the next two to three years, its chief executive David Massey told The National.Currently, 70 per cent of its annual revenue comes from export orders, with the remaining from the UAE Navy. The company contributes 10 per cent to Edge Group’s total revenue.