European airplane manufacturer Airbus has selected the solution of Israeli communications solutions company Mobilicom (ASX: MOB) to install in its commercial drones platform, Mobilicom reported today. Mobilicom's share price jumped 17% to A$0.10 following the report. The contract is the second reported by the company in recent days, following a contract with the Israel Ministry of Defense in which the initial order amounts to $200,000.
Mobilicom develops and provides communications solutions in two areas. Its core area is communications solutions for critical missions, government agencies, homeland security, and public security. Its solution facilitates continuous communications without using existing infrastructure. The company's second field is Skyhopper, its hardware and software solution for the commercial drone industry. Skyhopper is used for communications, control, and transmitting information from the drone to the ground.
As part of the agreement with Airbus, Mobilicom has already received an order. The company says that its sales to Airbus illustrate its capabilities and the quality of its solution. "We're proud that Airbus, one of the world's leading aeronautics companies, was interested in Mobilicom's products," said Mobilicom CEO Oren Elkayam. "The growing interest in our products indicates our technological superiority and reflects the need for our unique solutions. Gaining a partner like Airbus will substantially accelerate the company's development, and we expect additional orders very soon."
Mobilicom, founded by Elkayam and VP R&D Yossi Segal, has a current market cap of A$21 million (NIS 54 million). The company's current share price is half of the price at which it raised A$7.5 million in its IPO on the Australian Securities Index in May 2017. The company's revenue grew 67% to A$1.6 million in the first half of 2018, and its net loss dropped 69% to A$1.3 million.
South Korean farmers interested in Roots' system
Another Israeli company that stood out today on the Australian Securities Exchange was Roots Sustainable Agricultural Technologies (ASX: ROO), whose share price climbed 10%. The company reported its first commercial order from South Korea for its RZTO system. The order amounts to A$23,000 (nearly NIS 60,000). Roots CEO Dr. Sharon Devir said, "This is an exciting milestone in a new market for us. While the order is a small one, we believe that it will be followed by many larger orders, because we have seen great interest on the part of South Korean farmers."
Roots, founded by Devir and Boaz Wachtel, has a market cap of A$19 million (NIS 50 million), 65% higher than the value at which it held its IPO in December 2017, but 45% less than the peak it reached in January 2018.
Published by Globes [online], Israel business news - www.globes-online.com - on October 3, 2018
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