(NewsDirect)
Volatus AerospaceCorp. (TSXV: VOL) (OTCQB: VLTTF) ("Volatus" or "theCompany") announced today that it has signed an arm’s lengthdefinitive agreement dated Oct 17, 2022 to acquire iRed Limited, adrone services and training company based in Emsworth, England(“iRed”). This acquisition provides a foundation for continuedgrowth in the region and reinforces Volatus’ overall thermographiccapabilities.
“We began ourexpansion in the UK earlier this year with the addition of a seasonedbusiness development executive, Steve Emerson, to build our presenceand provide regional leadership. iRed is an established brand with asolid base of resources from which to grow that will enhance ourglobal capabilities in thermography,” said Glen Lynch, CEO ofVolatus Aerospace. “Thermography is in high demand in verticals likepublic safety, forestry, infrastructure, and agriculture. These usecases are only growing as drone capabilities mature and there ishigher demand to reduce greenhouse gas emissions through earlydetection via thermographic imaging.”
Founded in 2001, iRed started as a company specialized ininfrared technologies, training, and services. While infrared trainingand inspection remains a core competency of the company, the advent ofdrones provided enhanced opportunity for thermography, whichultimately led to the expansion of the company into a variety of dronerelated services, equipment sales, and a diversified customer base.iRed is targeting year-end revenues of $1M with an EBITDA margin of7%.
“I’m very proud ofwhat iRed has accomplished over the past 20 years,” said RayFaulkner, President of iRed. “Joining Volatus will provide us withthe resources necessary to take our company to the next level. We lookforward to expanding our product offering, growing our servicebusiness, and pushing our training programs to the larger globalmarket. Volatus Aerospace shares our commitment to sustainability andreducing our carbon footprint, and we look forward to what we canaccomplish together.”
Under theterms of the agreement, Volatus will make an equity investment of£100K in iRed in exchange for newly issued shares (treasury shares)that will represent 51% of all outstanding shares. The investment willbe used by iRed for ongoing expansion activities. The transaction isscheduled to close October 31 st , subject to board ofdirector, regulatory, and TSX approvals. Volatus will assume over alllong-term debt obligations of £221K and the seller is subject tooperational and financial metric as defined in the definitiveagreement, at one year anniversary, the iRed investor(s) will have anoption to sell remaining 49% for up to £125K in exchange of Volatusshares at a valuation of $0.65 per share or 12 months anniversaryprice, whichever is lower.
This news marks another geographic expansion forVolatus following the announcement of their jointventure in Latin America in June of this year as well as theircommitment toward offering green solutions to their clients.
About Volatus Aerospace:
VolatusAerospace Corp. is a leading provider of integrated drone solutionsthroughout North America and growing into Latin America and globally.Volatus serves civil, public safety, and defense markets with imagingand inspection, security and surveillance, equipment sales andsupport, training, as well as R&D, design, and manufacturing.Through our subsidiary, Volatus Aviation, we are introducing green andinnovative drone solutions to supplement and replace traditionalaircraft and helicopters for long-linear inspections such as pipeline,energy, rail, and cargo services. Volatus is committed to carbonneutrality; the fostering of a safe, equitable and inclusiveworkplace; and responsible governance.
Forward-LookingStatement
This news release contains statements thatconstitute “forward-looking information” and “forward-lookingstatements” within the meaning of applicable securities laws,including statements regarding the plans, intentions, beliefs, andcurrent expectations of the Company with respect to future businessactivities and operating performance. Often, but not always,forward-looking information and forward-looking statements can beidentified by the use of words such as “plans”, “expects”,“is expected”, “budget”, “scheduled”, “estimates”,“forecasts”, “intends”, “anticipates”, or “believes”or variations (including negative variations) of such words andphrases, or statements formed in the future tense or indicating thatcertain actions, events or results “may”, “could”,“would”, “might” or “will” (or other variations of theforegoing) be taken, occur, be achieved, or come to pass.Forward-looking information includes information regarding: (i) thebusiness plans and expectations of the Company; and (ii) expectationsfor other economic, business, and/or competitive factors.Forward-looking information is based on currently availablecompetitive, financial, and economic data and operating plans,strategies, or beliefs as of the date of this news release, butinvolve known and unknown risks, uncertainties, assumptions and otherfactors that may cause the actual results, performance or achievementsof the Company to be materially different from any future results,performance or achievements expressed or implied by theforward-looking information. Such factors may be based on informationcurrently available to the Company, including information obtainedfrom third-party industry analysts and other third-party sources, andare based on management’s current expectations or beliefs. Any andall forward-looking information contained in this news release isexpressly qualified by this cautionary statement. Investors arecautioned that forward-looking information is not based on historicalfacts but instead reflects expectations, estimates or projectionsconcerning future results or events based on the opinions, assumptionsand estimates of management considered reasonable at the date thestatements are made. Forward-looking information and forward-lookingstatements reflect the Company’s current beliefs and is based oninformation currently available to it and on assumptions it believesto be not unreasonable in light of all of the circumstances. In someinstances, material factors or assumptions are discussed in this newsrelease in connection with statements containing forward-lookinginformation. Such material factors and assumptions include, but arenot limited to: the commercialization of drone flights beyond visualline of sight and potential benefits to the Company; and meeting thecontinued listing requirements of the TSXV. Although the Company hasattempted to identify important factors that could cause actualactions, events or results to differ materially from those describedin forward-looking information, there may be other factors that causeactions, events or results to differ from those anticipated, estimatedor intended. The forward-looking information contained herein is madeas of the date of this news release and, other than as required bylaw, the Company disclaims any obligation to update anyforward-looking information, whether as a result of new information,future events or results or otherwise. There can be no assurance thatforward-looking information will prove to be accurate, as actualresults and future events could differ materially from thoseanticipated in such statements. Accordingly, readers should not placeundue reliance on forward-looking information.
Neither the TSXVnor its Regulation Services Provider (as that term is defined in thepolicies of the TSXV) accepts responsibility for the adequacy oraccuracy of this news release.
Source: Volatus Aerospace Corp.
TSXV: VOL
Contact Details
AbhinavSinghvi
+1 833-865-2887
abhinav.singhvi@volatusaerospace.com
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