Volatus Aerospace Acquires Synergy Aviation, Adds 500,000+ km Pipeline Right of Way Surveillance
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Today, Volatus Aerospace announced that it has signed an agreement to acquire Synergy Aviation, a move that will strengthen Volatus’ position in the oil and gas industry in Western Canada. An industry leader in aerial surveillance, pipeline integrity monitoring, and specialized geomatics, Synergy Aviation patrols and inspects over 500,000 KM of pipeline, providing Canada’s oil & gas sector with reliable and comprehensive right-of-way integrity data. The combination of Synergy’s industry leadership with Volatus’ drone technology solutions will give Volatus a major edge in introducing new remotely operated drone solutions to meet regulatory and asset monitoring needs.
“Pipeline inspection, much like other long linear inspection requirements, has traditionally been completed using crewed helicopters and small fixed wing aircraft,” said Volatus Aerospace CEO Glen Lynch. “Leveraging Synergy’s oil & gas presence combined with our existing pipeline operations in Ontario will allow us to introduce the power of innovative drone solutions to meet regulatory compliance and asset management requirements with improved efficiencies and a material reduction in greenhouse gas emissions.”
“There are nearly 5 million kilometers of oil & gas pipeline in North America requiring annual inspections and, in many cases, weekly patrols to meet regulatory and asset management requirements,” said Synergy Aviation President Todd Tkach. “Becoming part of Volatus gives us the added geomatics capabilities, market reach, and the opportunity to disrupt traditional methods in this sector.”
Over the first nine months of 2022, Synergy recorded unaudited revenues of $7 million with a 14% EBITDA (earnings before interest, tax, depreciation, and amortization), with targeted year end revenues of $9 million. The new agreement will see Volatus make a $2.29 million equity investment in Synergy Aviation over the course of 10 months from closing on October 31st in exchange for newly issued shares representing 51% of all outstanding shares. Synergy will leverage the investment for ongoing expansion activities. Until December 2024, the Synergy investors will also have an option to sell the remaining 49% equity to Volatus at the same valuation at Closing in exchange of Volatus shares based on 30 days VWAP (volume weighted average price) on the date of Closing.
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Miriam McNabb is the Editor-in-Chief of DRONELIFE and CEO of JobForDrones, a professional drone services marketplace, and a fascinated observer of the emerging drone industry and the regulatory environment for drones. Miriam has penned over 3,000 articles focused on the commercial drone space and is an international speaker and recognized figure in the industry. Miriam has a degree from the University of Chicago and over 20 years of experience in high tech sales and marketing for new technologies.
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