Rafael has agreed to co-develop unmanned aerial vehicles (UAVs) developed by Aeronautics in a new five-year deal signed between the two Israeli defence companies.
The agreement will result in the two firms co-developing the Orbiter family of UAVs, which could be built either domestically or overseas.
This announcement comes after a joint offer by Rafael and businessman Avichai Stolero to acquire Aeronautics was made in 2018, valuing the company at ILS430 million (USD114.9 million). The offer was ultimately rejected by Aeronautics, having been deemed too low.
According to Israeli media, under the terms of the new deal Rafael has the authority to cancel the agreement if there are changes in the leadership/ownership of Aeronautics, which is likely to be an issue as the company continues to explore different sales options.
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