Fastbrick Robotics Signs Memorandum of Understanding With Caterpillar
📅 Wed July 05, 2017 - National Edition
Australian robotic technology company, Fastbrick Robotics Limited has entered into a memorandum of understanding (“MOU”) with Caterpillar Inc. to discuss and develop a potential framework for collaboration regarding the development, manufacturing, sales, and services of Fastbrick Robotics' robotic bricklaying technology (FBR technology).
The MOU also establishes a strategic alliance board with representatives from both companies that intends to develop that framework and consider how best to offer this FBR technology to Caterpillar's construction customers. The board also will consider the most appropriate and most profitable business models to apply in each country, state and region.
The MOU has an initial 12-month term, which may be either extended by mutual written agreement or terminated by either party at any time. Fastbrick Robotics also has agreed to deal exclusively with Caterpillar for the development and potential commercialization of the FBR technology during the term of the MOU.
Simultaneous with the signing of the MOU, Caterpillar, through a wholly owned subsidiary, is investing $2 million in Fastbrick Robotics via a placement, which is being undertaken in accordance with the terms of a placement agreement. Pursuant to the placement agreement, Fastbrick Robotics will issue fully paid ordinary shares to Caterpillar at an issue price of $0.10 AUD per share.
Subject to approval by Fastbrick Robotics shareholders, Caterpillar, through that wholly owned subsidiary, also will have an option to invest a further $8 million in Fastbrick Robotics at an issue price of $0.20 AUD per share. Fastbrick Robotics intends to seek that shareholder approval within 60 days.
Fastbrick Robotics Managing Director Mike Pivac said, “Fastbrick Robotics is delighted to sign a MOU with Caterpillar and welcomes the company as a new shareholder. Caterpillar is a globally recognized industry leader, and we look forward to collaborating with the company and uniting our teams to share ideas, pursue innovation and explore opportunities to commercialize our unique technology.”
For more information about Fastbrick Robotics, visit www.fbr.com.au.
For more information about Caterpillar, visit caterpillar.com.