Aeronautics’ CEO to Step Down Amidst Criminal Investigation

Amos Matan, CEO of drone maker Aeronautics Ltd., is set to step down from his position in the next few weeks. Matan announced his upcoming departure, amidst a criminal investigation against the company ongoing since 2017, in a letter sent Sunday to employees and reviewed by Calcalist. In his letter, Matan named Moshe Elazer as his successor. Elazer currently serves as the naval systems director at Israeli defense contractor Rafael Advanced Defense Systems Ltd.

In September, Rafael and Israeli businessman Avihai Stolero completed the acquisition of Aeronautics for over $230 million.

Founded in 1997 and based in central Israeli town Yavne, Aeronautics develops military drones and has more than 45 defense, military, and homeland security customers worldwide.

A public company at the time, Aeronautics’ stock took a big hit when, in August 2017, the Israeli Ministry of Defense halted its license to export a loitering munition unmanned aerial vehicle (UAV) system to an unnamed but prominent client. Since then, the company has been investigated by Israeli Police and the Israel Securities Authority for suspected violations of the Israeli defense export controls law. The license was reinstituted last year.