Following Police Investigation, Israeli Drone Maker Facing Hurdles in the U.S.
According to past media reports, Israel-based Aeronautics had allegedly carried out a live demonstration of one of its suicide drones on an Armenian army post
For daily updates, subscribe to our newsletter by clicking here.Israeli police is investigating a deal Aeronautics signed with a non-Israeli client. An Israeli court has issued a sweeping gag order on all details pertaining to the investigation, which has been underway since September. According to past media reports, Aeronautics had allegedly carried out a live demonstration of one of its suicide drones on an Armenian army post at the request of the Azerbaijani army. The Azerbaijani army, was responsible for 20% of Aeronautics’ sales in 2016, according to the company’s filing.
“the terms for the completion of the deal have yet to mature,” an Aeronautics spokesman said in reply to a request for comment. “The company continues to work to complete the deal and obtain all required permits. Aeronautics continues its operations, even reporting recently signed deals,” he further noted.After listing on the Tel Aviv Stock Exchange in June, Aeronautics has seen its stock price plunge 40%. The company intended to utilize the acquisition of Chassis Plans to get more deals in Israel, unlocking the use of U.S.-Israel military aid funds, according to the company’s September announcement. In a prospectus filed to the Tel Aviv Exchange, the company noted it sees expansion in the U.S. as strategic.