Special Report: The extension will allow time to negotiate a broader partnership for the two sides’ joint technology development.
For tech innovation company Strategic Elements (ASX:SOR), the partnership with NYSE-listed conglomerate Honeywell has been a fruitful one so far.
Today, SOR announced that its fully owned subsidiary, Stealth Technologies, has extended its partnership agreement with Honeywell for another six months.
The amendment will extend the exclusivity period until April 9 2021, thus allowing “sufficient time to continue negotiations in relation to a broader partnership agreement”, SOR said.
Shares in SOR rose almost 10 per cent in morning trade to climb back above seven cents.
ASV technology
The extension was agreed to in connection with Stealth’s joint project with Honeywell – the commercial development of an Autonomous Security Vehicle (ASV) for the correctional justice sector.
SOR has reported a steady run of positive news flow in connection with the ASV technology, which has seen the company’s share price more than double from its March lows.
This morning, Strategic Elements reported to the ASX that it has now successfully passed User Acceptance Testing (UAT) with the WA Department of Justice.
UAT is typically the last phase of an engineering development process where the end-client tests and verifies the technology before approving it for commercial rollout.
The ASV has the capacity to provide flexible 24-hour surveillance of secured correctional facilities, with a high-definition military grade camera.
In connection with the ASV’s commercial application, Stealth has also filed three patent applications to take intellectual property (IP) control over key aspects of the vehicle’s technology.
The extension period agreed to with Honeywell is strong evidence that the two sides are committed to working together in the development of the ASV technology’s commercial application.
This article was developed in collaboration with Strategic Elements, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.