Transcription of The Stock Network Interview with FBR (ASX:FBR, OTCQB:FBRKF) Co-founder and CEO, Mark Pivac
Lel Smits: FBR is a robotic technology company that builds dynamically stabilised construction robots and has just signed a non-binding Memorandum of Understanding with Darwin-based builder Habitat NT for the sale of Hadrian X units. The deal, valued at AU$7.8 million, marks FBR’s entry into the Northern Territory market where a critical shortage of housing and trades is driving demand for innovation and construction. Joining me today is FBR’s co-founder and CEO, also primary inventor of the technology, Mark Pivac. Mark, welcome back to the Stock Network.
Mark Pivac: Yeah, it’s great to be here, Lelde.
Lel Smits: Now, you’ve just announced a proposed AU$7.8 million deal with Habitat NT in Darwin. Can you break down the key terms and why also this represents a major opportunity for the company?
Mark Pivac: Yeah, so Habitat NT built a lot of homes up in Darwin and Paul Winter, their leader and I have been discussing how we could get Hadrian up into that market to help them build the massive amount of houses which they need to. They’ve got a lot of demand stimulated by a $50,000 first home owners grant up there. And there’s also a lot of defence work happening, building infrastructure and housing and so on for the defence industry up there.
So that’s really stretched the supply capacity up there. And we see that they’ve got enough demand to justify sending a Hadrian up there. And we’ve agreed that the best way to do that is for Habitat NT to buy a Hadrian and put it to work up there.
So of course, this is all non-binding and subject to final agreement and so on. But we’re really confident that this is a great way forwards. Fantastic.
Lel Smits: Now, Habitat also mentioned a surge in housing demand, first home buyer grants and major defence infrastructure projects in the NT. How does the Hadrian X help meet this demand and also overcome current trade shortages?
Mark Pivac: Yes, of course, Hadrian X originally came about because of the shortage of bricklayers across the globe, really. It’s a tough trade and it’s really difficult to attract new people to it.
It’s a well-paid trade. And of course, it’s a task which is ripe for automation. And the automation system that we’ve developed with Hadrian X builds much faster than humans can. And this will really help Habitat deliver their pipeline of work.
Lel Smits: Now, Mark, this agreement starts with one unit, but the MOU mentions a substantial pipeline. How will this help the broader rollout of Hadrian X across Northern Australia?
Mark Pivac: Yes, so look, we see this as a great opportunity to show how it can be done with an innovative and committed builder.
And we’re really looking forward to rolling out Hadrian up in the north. Of course, we’d like more Hadrians up there, and the market’s probably big enough to support that. But we’ll start with one.
And we’ve also got other demand around the world, which we have to also try and meet. So we’re hoping that this will showcase how the Hadrian can really help to solve the housing crisis.
Lel Smits: Excellent and it has been a very busy week for FBR. You also this week struck a deal with Samsung Heavy Industries for robotic shipbuilding and will be paid $150,000 US to develop commercialisation business models with Samsung Heavy Industries. You’ve also referenced potential subsequent phases. What are the phases look like?
Mark Pivac: Yes, so the first phase, which we’re being paid for now is to build a prototype of a part of the automation system and test that and write a report on it. And provided that’s successful, and we have every reason to believe that it will be, that of course will lead into further work to develop a complete automation system. And the demand there is big enough that there should be the need for a lot more than just one system. So we’re looking really forwards to that. But of course, there’s a lot of water to go under the bridge. But we’re confident that we’ve got the team that can really deliver on this exciting opportunity.
Lel Smits: Fantastic, great times for FBR and look forward to hearing more developments as they come through.
Mark Pivac: Thank you.
Ends