Volatus Aerospace acquires Synergy Aviation

Volatus Aerospace Inc. has finalized its acquisition of the remaining 41.53% stake in Synergy Aviation Ltd., granting Volatus full ownership of the company. This move, completed through the issuance of 2,444,243 common shares, aims to streamline Volatus' operations as it seeks to enhance its footprint in both civil and defense aerospace markets. The share issuance was based on the 30-day volume-weighted average price on the TSX Venture Exchange prior to the deal's closure.

Initially acquiring a 51% controlling interest in 2022, Volatus increased its stake in Synergy to 58.47% before completing this acquisition. By consolidating full ownership, Volatus can better integrate its operations across crewed and remotely piloted aviation systems, as well as its training and manufacturing divisions. This strategic alignment is intended to bolster Volatus' capabilities in dual-use aerospace and defense technologies.

CEO Glen Lynch emphasized the benefits of this consolidation, stating it enables Volatus to streamline its governance and capital allocation. The completion is classified as a "related party transaction" due to Marc Hanatshek’s involvement, a director of Synergy and minority shareholder. However, the requirement for formal valuation and minority shareholder approval was waived, as the fair market value of the consideration was below 25% of Volatus’ market capitalization.

The acquisition supports Volatus’ expansion plans, particularly with the launch of commercial aircraft activities in Tulsa, Oklahoma, later this March. This initiative targets the U.S. oil and gas sector by leveraging Synergy’s expertise in aerial intelligence and infrastructure inspections, aiming to solidify Volatus’ position in the market. Moreover, this move follows Volatus' recent graduation to the Toronto Stock Exchange, underscoring its ambition to become a key player in Canada’s uncrewed systems strategy and cater to both NATO and domestic government partners with AI-enabled autonomous technologies.

Looking forward, Volatus' consolidation of Synergy Aviation is expected to enhance its operational efficiencies and market positioning. The company is also preparing for the upcoming Tulsa expansion, which will mark a significant step in its strategic growth trajectory within North America.