CybAero receives positive preliminary decision from ISP for exports to China
First North-listed CybAero has received a positive preliminary decision from ISP (the Swedish Agency for Non-Proliferation and Export Controls) for its application to export to a Chinese commercial end customer.
In July 2014, CybAero signed a framework agreement with Chinese company AVIC for the delivery of at least 70 helicopter systems in total within the next eight years.
CybAero applied on September 30 for an export license for the first 20 systems. On October 17, ISP announced that it rejected the application due to issues concerning where the first 20 systems would be assembled and also concerning the end user.
After holding talks with ISP, as well as clarifying and supplementing the information, CybAero requested an preliminary decision from ISP in an application on October 24 for delivery of the first ten systems within the scope of the agreement with AVIC.
CybAero then received a positive preliminary decision from ISP for the November 18 application. An preliminary decision is valid under the conditions applicable at the time the ruling was issued, and ISP will conduct a final examination when CybAero applies for an export license for these systems. The application for the export license will be made as soon as the commercial terms and conditions for the ten systems have been established with the end user. This application will be identical to the supporting documents and preconditions which served as the basis for the positive preliminary decision. The helicopter systems will be used for civilian applications, mainly power line inspections.
"It is excellent that we have now received this positive preliminary decision. As a result, we can now begin making the first deliveries under the agreement with AVIC," says CybAero's CEO Mikael Hult.
"Instead of applying for an export license for a large number of systems all at once, we have now changed things so that we will be able to apply for significantly fewer systems at a time. Applications for export licenses for future deliveries will be made as the specifications and end users are established. We think that the future applications will normally be for three to five systems at a time. I think this change will be great," says CybAero's CEO Mikael Hult.
CybAero will continue to market itself both in China and on other markets in parallel with working on the orders under the framework agreement signed with AVIC. For example, the company recently attended a large trade fair in China this month.
"This was the largest presence the company have ever had at a trade fair, and we can already see very positive results," says Mikael Hult.
"We are seeing a significantly greater interest in our products from all around the world, and we are in discussions with several potential clients," Hult concludes.
For more information:
Mikael Hult, CEO, CybAero AB, tel. 46 (0)70 5642545 e-mail: email@example.com
CybAero develops and manufactures Remotely Piloted Aircraft Systems (RPAS) and associated sensor systems for safer and more cost-effective operations in hazardous environments.The company has made a great international impact with its APID 60 helicopter, which can be adapted for both military and civilian applications such as coastal and border surveillance, search and rescue missions, and mapping.
CybAero has its head office in the Mjärdevi Science Park in Linköping, Sweden. The company has more than 40 employees and has been listed on NASDAQ OMX First North since 2007. Remium Nordic AB is the company’s certified adviser.