First North-listed CybAero's application for a license to export to its Chinese
customer AVIC has been rejected by ISP (the Swedish Agency for Non-Proliferation
and Export Controls). CybAero is now in discussions with ISP and is planning to
submit a new application.
CybAero signed a framework agreement with Chinese company AVIC for delivery of
at least 70 helicopter systems in total, with at least 20 in the first three
years and at least 50 the following five years. CybAero applied for an export
license from ISP on September 8th and supplemented its application on September
30th with a request for a license to deliver only the first 20 systems in the
next two years.
On October 17th, ISP announced that it will not grant the export license on the
basis of CybAero's application. Some of the questions ISP had include where the
first 20 helicopter systems will be manufactured. CybAero is now talking with
ISP and the company will submit a new application based on these discussions
with a clearer description of its framework agreement with AVIC, as well as the
production and use of the systems. The systems will only be used for civilian
applications, such as power line inspection, environmental condition monitoring,
surface mine inspection and similar applications.
“Our original export license application was for all 70 helicopter systems, but
we only applied for the first 20 in the supplement submitted in September, since
ISP can only grant licenses for a maximum of two years at a time. We believe
that the process of having submitted an initial export application and then a
supplement may have led to uncertainty resulting in ISP's decision to not grant
the application," says Mikael Hult, CEO of CybAero.
“We will therefore submit a new, clearer application this week."
ISP's decision is without a doubt a bump in the road for CybAero's plans, but
since the first deliveries to AVIC are planned for Q2 2015, there is time to
clarify the export license application.
“In the meantime, we will continue with our marketing, both in China, where we
will participate in a trade fair in November, and in other markets," says Mikael
Hult.
“We have seen a substantial increase in interest for our products from around
the world.”
For more information:
Mikael Hult, CEO, CybAero AB, tel. 46 (0)70 5642545 e-mail:
mikael.hult@cybaero.se
Read online: www.cybaero.se Videos: www.youtube.com/cybaero
About CybAero
CybAero AB develops, manufactures and markets autonomous unmanned helicopters
(known as VTOL UAV) and associated sensor systems for both the defence and civil
sectors. CybAero was established in 2003, but the foundations of the business
were laid back in 1992 through a research partnership between Linköping
University and the Swedish Defence Research Agency (FOI). CybAero has now
established itself as a leading global player within the VTOL-UAV sector. The
company’s user-friendly, robust and cost-effective APID product has attracted
global attention. CybAero’s head office is situated at Mjärdevi Science Park in
Linköping. The company has around 50 employees and has been listed on the NASDAQ
OMX First North exchange since 2007. Remium Nordic AB ( 46 (0)8 454 32 00) is
the Certified Adviser.
