Update and acceleration of SHARROW by VEEM rollout
| Stock | Veem Ltd (VEE.ASX) |
|---|---|
| Release Time | 20 Feb 2025, 8:50 a.m. |
| Price Sensitive | Yes |
VEEM accelerates SHARROW propeller rollout
- Sharrow's proprietary inboard propeller designs show promising performance and fuel efficiency
- Sharrow to lead customer interactions, data gathering, and sales for next 12 months
- VEEM to focus on optimizing manufacturing and providing engineering support
VEEM Limited (ASX: VEE) has announced an update and acceleration plan for the rollout of SHARROW by VEEM propellers. The engineering development work to adapt Sharrow's proprietary design code for inboard applications has progressed significantly over the past 15 months through ongoing testing and analysis. Sharrow's designers are confident that the performance data confirms the inboard designs are on track to deliver consistent fuel efficiency and performance gains comparable to Sharrow's industry-leading outboard models. To accelerate the optimization and automation of the SHARROW by VEEM designs, Sharrow will dedicate funding to expanding the rollout and serving a larger number of customers simultaneously. For the next 12 months, Sharrow will take the lead in managing customer interactions, data gathering, and sales, with the same expert team that successfully launched Sharrow's outboard program overseeing this effort. VEEM will serve as the manufacturing lead, providing engineering support as needed, and will generate revenue from sales of SHARROW by VEEM propellers to Sharrow during this phase. At the end of the initial rollout period, the Technology Collaboration Agreement terms will resume, with VEEM returning to its role in sales and manufacturing.
Sharrow is targeting the design, testing, production, and installation of 75 vessels within the next 12 months for North American pre-order customers.
The accelerated strategy focuses initially on North American pre-order customers, ensuring rapid deployment and early adoption of the SHARROW by VEEM propellers. Building on the proven blueprint that made Sharrow's outboard propellers a success, the team is applying the same world-class expertise, engineering discipline, and cutting-edge technology to inboard propulsion.