Earlier in the week, Amazon announced that as part of its deal with warehouse robotics firm Baylo in which it could build a stake of possibly a third would result in the boost of sales of Balyo’s technology for self-driving forklift trucks.
As per reports, as part of Amazon’s efforts to cut costs and speed up deliveries it has made Warehouse automation a key element.
Currently, The world’s biggest online retailer utilizes robots developed by Kiva Systems, a company it successfully acquired for US$775 million (RM3.17bil) back in 2012.
Earlier in the day, Thursday, 10th January, Balyo chief executive Fabien Bardinet said, “This agreement is a representation of an unprecedented opportunity for Balyo to grow its business and supports the soundness of our investments over the course of time in a bid to improve our robotic solutions.”
Under the terms of the deal, Amazon is eligible to receive free stock warrants amounting up to 29% of Balyo’s capital which it can exercise depending on orders of the company’s products.
As per reports, provided that Amazon orders nearly €300mil (RM1.41bil) of Balyo’s enabled products the entire 29% would be exercised.
According to a report by Reuters, Balyo, a company which has its navigation system turn forklifts into self-driving vehicles, had forecasted its 2018 revenue to reach €23.3mil (RM110.18mil), up 40% in comparison to its previous year.