Delta Drone soars after significant deal, underpins growth in ASX drone stocks
Link copied to
Delta Drone International (ASX:DLT) has today signed an agreement with Doosan Mobility Innovation to integrate its patented SafeAir parachute technology with Doosan’s award-winning DS30 endurance drone.
Doosan is a South Korean multionaltional Fortune 500 company. Its drone, the DMI DS30, is the world’s first mass-produced hydrogen fuel cell drone, and was awarded the 2020 CES Best Innovation Award. It can fly for more than two hours with a range of up to 80km.
In the agreement, DeltaDrone’s drone safety brand, ParaZero, will provide the DS30 with OEM (original equipment manufacturer) integration of its parachutes. The integration will allow the DS30 drones to fly safely in urban environments, and comply with stringent safety standards set by the world’s civil aviation regulators.
ParaZero’s SafeAir system is especially designed to comply with regulations that enable safe flight operations over populated areas and beyond visual line of sight.
The agreement is multi-phase, and will generate an initial revenue of $150,000 for Delta Drone.
The deal will also include collaboration between the two companies in the fields of R&D coordination, system architecture, design, ground deployment and regulations testing.
“The challenge has always been ensuring that drones can safely fly in urban environments. We believe that as OEMs see the commercial and regulatory benefits of designing the highest level of safety into their product design,” said Delta Drone’s CEO, Christopher Clark.
“Delta Drone International will continue playing a leading role in helping the drone industry ensure safety,” he added.
In 2020, a handful of ASX-listed drone stocks have notched up some hefty gains.
Stockhead has compiled a list of drone companies on the ASX, and tracked their performances over the last 12 months.
Strategic Elements (ASX:SOR) is one of the leading drone performers on the ASX – notching up more than 800% in the last 12 months. This company is operating under a Pooled Development Fund program, and also has precious metals projects in WA.
Pointerra (ASX:3DP) has also gained more than 800 per cent in one year. The company reported impressive revenue growth, increasing by 218 per cent to $1.56 million for the first half.
Orbital (ASX:OEC), on the other hand, returned over 200 per cent in the last 12 months, reporting a 67 per cent increase in revenue to $19 million for the first half.
DroneShield (ASX:DRO), which designs weapons and systems to defend against drones, also reported a 58 per cent rise in revenue to $5.4 million for the full year FY20.
Delta Drone meanwhile, only recently re-listed on the ASX. The company was previously called ParaZero (ASX:PRZ), but delisted itself in March 2020 after merging with Delta Drone South Africa. The re-listing raised $5 million at 4c a share.
Delta Drone’s shares are changing hands at 3.4c in today’s trading.