- Market capitalization of $132.277M
Drone Delivery Canada (FLT.V) today announced that it has entered into various agreements with Air Canada (AC.TO), the Company’s commercial agent. As of June 17, 2022, these agreements have been entered into with DSV Air & Sea Inc. Canada (DSV) and Halton Healthcare Services Corporation. Together, the parties will deploy DDC’s patented drone delivery solution at Oakville Hospital.
“This project is a great way to demonstrate a new, efficient way to transport medical goods from DSV Milton to Oakville Trafalgar Memorial Hospital. It will also allow us to explore other connecting air routes, via DSV, in the future,” said Steve MagiriasCEO of Drone Delivery Canada.
Since this is probably the first time you’ve heard of Drone Delivery Canada (DDC), let’s talk about the company. According to DDC, the company offers turnkey logistics solutions, including its proprietary FLYTE software system, hardware and professional services. To sum up, DDC’s portfolio includes drones, all of which are intended to provide safe and secure autonomous cargo delivery.
Now let’s talk about the references of the company. Among the multitude of startups swarming the drone industry in Canada, DDC was the first drone delivery company to be certified as a compliant operator by Transport Canada. Additionally, DDC is recognized for developing the first delivery drone to meet Transport Canada’s Compliant Unmanned Aircraft Standards.
DDC was also the first publicly traded company to obtain a domestic cargo license under the Canada Transportation Act (CTA) and Air Transportation Regulations. The company received its cargo license, which is usually only granted to airlines, on July 27, 2021. Under the CTA’s definition, the agency licenses Canadian applicants who wish to operate domestic air services.
The CTA also issues licenses to operate international scheduled and non-scheduled services to and from Canada to Canadian and foreign applicants. Obtaining a cargo license was an important step for DDC, allowing the company to pursue other drone delivery use cases. Since then, DDC has expanded its presence in a multitude of industries, such as airports, healthcare, oil and gas, among others.
“The healthcare vertical market is an area of great interest for DDC, with significant potential future opportunities from the perspective of urgent deliveries, high value and high risk goods using our unique key drone delivery solution. in hand,” continued Steve Magirias.
Speaking of healthcare, DDC’s latest initiative was developed in conjunction with McMaster University and DSV, the company’s logistics partner. Eventually, McMaster hopes to integrate drones into the nuclear isotope supply chain. However, DDC’s “revenue-generating pilot project” will be conducted between Milton, Ontario, and Oakville, Ontario. Note that DSV’s head office is in Milton.
To this end, DDC will leverage DSV’s existing DroneSpot® take-off and landing infrastructure, as well as the establishment of additional infrastructure at Oakville Trafalgar Memorial Hospital. Operations should begin in the third quarter of 2022 for a period of 6 months. Interestingly, I pass Oakville Hospital at least once a week. If I find myself with drones through my windshield later this year, I’ll let you know.
DDC’s latest press release indicates that the DVS intra-site route will continue to operate alongside the company’s planned pilot. To sum up, DVS is developing drone delivery routes, namely its intra-site drone delivery route. This route allows the company to deliver various types of goods from its logistics facility and warehouse in Milton, Ontario to DropSpot locations at its customers’ local facilities.
Previously, on March 15, 2022, DDC announced the approval and implementation of dangerous goods within DSV’s intra-site drone delivery route. This represents another significant milestone for DDC, enabling the company to deliver dangerous goods to customers in various verticals, including retail and consumer products, healthcare, automotive and chemicals.
DDC’s stock price opened at $0.62 today, up from the previous close of $0.56. Shares of the company were up 5.36% and trading at $0.59 as of 10:42 a.m. EST.