We know that investors have a number of questions around today’s announcement that FLYHT has sold a non-exclusive license to an unnamed technology company containing IP rights to develop an alternative or different AFIRS technology for Iridium’s NEXT satellite constellation. FLYHT has been restricted by the purchaser in the amount of information that can be disclosed.
The plus on this deal is that FLYHT will receive $2.5 million in the first quarter of the new year, which alleviates financing pressure and the dilution that comes with new equity. Secondly, FLYHT will have an option to sell the product developed with this IP.
Also, according to management, the unnamed technology company has already received approval to develop a product to operate on the “Iridium NEXT” satellite constellation, whereas FLYHT did not bid to receive one of the licenses (although the current FLYHT products will continue to operate on Iridium NEXT).
It’s also important to point out that the unnamed company is already a high volume distributer of AFIRS technology and this licence agreement doesn’t impact its current sales agreement.
Iridium NEXT: “Scheduled for 8 launches through 2017, Iridium’s groundbreaking second-generation satellite constellation is set to deliver exciting new innovations and opportunities, while providing continued high performance and reliability for all existing Iridium® solutions — far into the future”. For more information on Iridium NEXT, click here.
To view today’s news release, please click here.