Drone Delivery Canada Corp and Volatus Aerospace Corp have announced that they have entered into a business combination agreement to combine the companies in a merger of equals transaction with the combined company to continue under the name “Volatus Aerospace Corp.”
According to a joint company press release:
“Under the Merger, which the boards of directors of both companies have approved, the combined company will be led by a board of directors and management team of experienced drone technology industry and business leaders, bringing together the cultures, strengths, and capabilities of both companies. By joining forces, Volatus and Drone Delivery Canada plan to immediately begin commercialization efforts, which is intended to enhance shareholder value by forging a robust, financially sound enterprise focused on immediate and long-term revenue with a clear path to sustainable growth and market leadership. Subject to customary closing conditions, the Merger is expected to close in the third quarter of 2024.”
According to the press statement, to date Drone Delivery Canada has invested USD40 million into drone cargo solutions that are now ready to go to market. “By focusing on drone services, training, and equipment sales, Volatus is well-positioned to leverage these technologies and bring them to market. As regulations begin to enable the commercialization of drone cargo and remote drone operations, Volatus has been planning to commercialize its efforts in Advanced Air Mobility, adding to its go-to-market strategy.
“Without technology such as Drone Delivery Canada’s remote operations centre; Flyte management software; DroneSpot infrastructure; and cargo-focused, commercialized aircraft, the path to competitively enter the Advanced Air Mobility market would require significant research and development investment for any drone-based services company.
“The combined company, with its shared decades of technology and aviation experience as well as strong financial and operating metrics, is expected to have a leading presence globally as a diversified technology and service leader to drive both short- and long-term growth opportunities in existing and new markets. Further, it is expected that the combined company will be able to achieve material cost synergies to support near-term profitability and enhance its margin profile as its revenue profile continues to grow.”
For more information
www.VolatusAerospace.com and www.DroneDeliveryCanada.com
