TORONTO, June 4, 2019 /CNW/ - Drone Delivery Canada Corp.
(TSXV: FLT, OTC: TAKOF) (the "Company" or "DDC") is
pleased to announce that it has entered into an agreement (the
"Agreement") with Air Canada (TSX:AC) ("AC")
effective May 29, 2019 whereby Air
Canada Cargo will market and sell DDC's drone delivery services in
Canada using Air Canada Cargo's
marketing and sales platforms and resources.
Pursuant to the terms of the Agreement and subject to DDC
obtaining required regulatory approvals, DDC will build and operate
up to 150,000 drone delivery routes in Canada. These routes will include timetables,
flight schedules, payload capacities, type of drones to be
deployed, and payment terms. DDC's services will be marketed as a
premium offering, and Air Canada Cargo has agreed that it shall not
use or engage with any other drone delivery service providers.
Air Canada Cargo has agreed to sell, market and promote DDC's
drone delivery services on the agreed routes, leveraging Air Canada
Cargo's expertise in the cargo world, brand presence and sales
network.
"This agreement greatly accelerates our commercial roll out in
Canada", commented Tony Di
Benedetto CEO of DDC. "Our drone delivery services will be
extensively marketed as we work to establish operations across the
country leveraging Air Canada Cargo's brand presence and their
established sales network and marketing reach. DDC will benefit
from Air Canada's Cargo's expertise and ability to promote and sell
DDC services through Air Canada Cargo's industry leading marketing
and sales technology channels in Canada, which will support
our efforts to establish DDC as Canada's first national
drone cargo solution. Next, DDC hopes to pursue even
larger markets in the United
States and Europe."
"Air Canada is pleased to
partner with Drone Delivery Canada, a leading player in today's
emerging drone industry. We believe drone technology has the
potential to offer the cargo community cost-effective solutions to
complex issues related to supply chain distribution in
non-traditional markets, including remote communities in
Canada. It is another way Air
Canada Cargo is innovating and engaging with new technologies, such
as artificial intelligence and digital technologies, which are
transforming the cargo landscape," said Tim
Strauss, Vice President, Cargo, at Air Canada.
Mr. Strauss is also an independent member of the advisory board
of DDC.
The initial term of the Agreement is ten years from the
effective date of May 29, 2019. The
routes to which the Agreement applies shall be agreed by the
parties and shall be subject to DDC obtaining required regulatory
approvals. Once routes are approved by the applicable regulatory
authorities, the particular terms of the routes, including payment
terms to Drone, will be determined in the context of each
applicable route and disclosed in subsequent press releases.
GMP Securities L.P. acted as financial advisor to DDC.
About Drone Delivery Canada Corp.
Drone Delivery Canada Corp. is a drone technology company
focused on the design, development and implementation of its
proprietary logistics software platform utilizing drones. The
Company's platform will be used as Software as a Service (SaaS) for
government and corporate organizations.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Notice Regarding Forward Looking Information
Certain information set forth in this news release may contain
forward-looking information that involves substantial known and
unknown risks and uncertainties. This forward-looking information
is subject to numerous risks and uncertainties, certain of which
are beyond the control of the Company, including, but not limited
to, the impact of general economic conditions, industry conditions,
and dependence upon regulatory approvals (both in Canada and internationally). Readers are
cautioned that the assumptions used in the preparation of such
information, although considered reasonable at the time of
preparation, may prove to be imprecise and, as such, undue reliance
should not be placed on forward looking information. The parties
undertake no obligation to update forward-looking information
except as otherwise may be required by applicable securities
law.
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SOURCE Drone Delivery Canada