Delta Drone International begins trade on ASX after merger
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Australia’s first listed drones-as-a-service company recommenced trading on the ASX today following a merger between drone parachute company ParaZero (ASX:PRZ) and international drone service provider Delta Drone South Africa.
At 10.40am, shares in Delta Drone International (ASX:DLT) were trading at 4.1c.
ParaZero shares last traded for 3.6c back in February; 4.1c represents a 13.9 per cent rise.
The company raised $5 million at 4c a share, giving the company a market capitalisation of $20 million.
The combined entity had pro-forma revenue in CY2019 of $5.8 million and a year-on-year historical revenue growth rate of 40 per cent.
Delta Drone provides drone services such as surveying, security and blast monitoring to the mining, agricultural and engineering sectors.
It already has business in South Africa, Ghana and Namibia – with customers including South32 (ASX:S32) and Newmont Mining (ASX:NEM) – and the capital raise will let it expand into Australia and establish an Australian headquarters.
“Australia’s vast mining and agricultural sectors provide an accelerated path to revenue, enabling mining companies to focus on extracting resources out of the ground, while we take care of collecting data from the air,” said Delta Drone International chief executive Chris Clark.