What is going on with TAKOF?
Drone Delivery Canada Corp. (TAKOF) stock surged today after the company announced that it has become the first publicly traded drone delivery company to be granted a domestic cargo license under the Canada Transportation Act and Air Transport Regulations. Shares of TAKOF increased 7.33% to $1.03 as of Tuesday at 12:15pm.
What does this mean for Drone Delivery Canada Corp?
TAKOF's new license, normally issued to airlines that provide passenger or cargo services, is a critical step to the continued expansion and scaling of DDC operations. A CTA license is mandatory for any air carrier intending to provide scheduled, commercial air services in Canada, whether carrying cargo or passengers.
Obtaining this license will allow for the company to continue developing new drone delivery use cases, as well as the potential expansion of ongoing operations, such as those recently announced for Edmonton International Airport and Fraser Lake, British Columbia.
"The granting of our CTA licence is a key milestone for us. As a leader in the drone delivery industry, DDC continues to ensure regulatory compliance while at the same time providing critical services to our clients. We are pleased with our continued successful progress on regulations, technology and customer revenue projects as we build our scalable commercial capabilities," said Michael Zahra, President & CEO Drone Delivery Canada Corp.
Additionally, section 61(a)(i) of the CTA requires that Drone Delivery Corp must be able to establish that at least 51% of the voting interests of the company are owned and controlled by Canadians. In order to comply with such rule, TAKOF will seek to amend its contacting documents to incorporate the necessary restrictions.
TAKOF has a Short-Term Technical Rank of 34. Find out what this means to you and get the rest of the rankings on TAKOF!
Drone Delivery Canada Corp is a developmental technology company. It focuses on designing, developing and implementing a commercially viable drone delivery system within Canada. The company develops drone technology to provide retailers, service organizations, and government agencies a just in time delivery service. It provides few service options such as Depot to Depot which is focused on rural applications providing services from warehouse to warehouse and Depot to consumer offering logistics services from a retailer and warehouse direct to a consumer's home or business location.
