AgEagle Aerial Systems Responds to False Claims from Short Seller Seeking to Manipulate the Company’s Stock
WICHITA, Kan., Feb. 19, 2021 (GLOBE NEWSWIRE) — AgEagle Aerial Systems Inc. (NYSE American: UAVS) (“AgEagle” or the “Company”), an industry leading drone solutions provider, today announced a response to the recent short-selling research report released by Bonitas Research yesterday morning, which contained false, inaccurate and misleading information regarding the Company.
J. Michael Drozd, CEO of AgEagle, stated, “The report by Bonitas Research contains multiple baseless claims, which we refute in the strongest possible terms. It is a clear attempt to manipulate and profit from the Company’s resulting stock price decline. The report did not even reflect the proper stock exchange our common shares trade on, much less substantiate any of its allegations.”
The following is AgEagle’s response to certain claims made in the Bonitas Research report:
- The Company has stated on numerous occasions that it is contractually obligated not to disclose the name of its major ecommerce client due to adherence to the terms and conditions of a non-disclosure agreement between the client and AgEagle. Further, the Company does not and will not comment on rumors or speculation about its clients as a matter of policy.
- Insider ownership as a percentage of the shares issued and outstanding has declined due in large measure to the increase in shares issued in association with the Company’s capital raising activities over the past year. In addition, the Company’s founder and former Chairman has formally resigned from AgEagle in accordance with the management succession plan announced in early 2020. As such, Mr. Chilcott is no longer deemed an affiliate.
Drozd continued, “Attacks from shorting outfits, such as Bonitas Research, would ordinarily not be dignified with a response. However, its attempt at impugning AgEagle’s integrity and ethics require a clear and thorough refutation of their disparaging misrepresentations. We intend to review all of our options on how to appropriately respond, up to and including litigation and referral of the entire matter to the proper regulatory authorities.”
Note: In 2019 and 2020, several media outlets reported on one instance where legal action was taken against Bonitas Research for making false and materially misleading statements to the public. According to an article published in The Sydney Morning Herald, in a scathing court judgement against Texas-based Bonitas Research by the New South Wales Supreme Court, Justice David Hammerschlag stated, “I am satisfied that they knew or ought reasonably to have known that the statements and information were false in material particulars or were materially misleading. They did not care that they were false.”
About AgEagle Aerial Systems Inc.
Founded in 2010, Wichita-based AgEagle is one of the nation’s leading commercial drone technology, services and solutions providers. We deliver the metrics, tools and strategies necessary to define and implement drone-enabled solutions that solve important problems for our valued customers. AgEagle’s growth strategies are centered on the delivery of advanced drone technologies, contract manufacturing services and agtech solutions. Our goal is to establish AgEagle as one of the dominant commercial drone design, engineering, manufacturing, assembly and testing companies in the United States and become the world’s trusted source for turnkey drone delivery services and solutions. In addition, we continue to leverage our reputation as one of the leading technology solutions providers to the Agriculture industry with best-in-class drones, along with data analytics for hemp and other commercial crops. Through our subsidiary, AgEagle Sensor Systems, Inc., d/b/a MicaSense, we remain at the forefront of multispectral sensor development, providing high quality drone-based cameras to the global market. For additional information, please visit www.ageagle.com and www.micasense.com.
This press release may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such statements involve risks and uncertainties that could negatively affect our business, operating results, financial condition and stock price. Factors that could cause actual results to differ materially from management’s current expectations include those risks and uncertainties relating to our competitive position, the industry environment, potential growth opportunities, and the effects of regulation and events outside of our control, such as natural disasters, wars or health epidemics. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in our expectations or any changes in events, conditions or circumstances on which any such statement is based, except as required by law.
AgEagle Aerial Systems Inc.
Gateway Investor Relations
Sean Mansouri or Cody Cree