Gia Automobile News According to Reuters, on August 8, air taxi manufacturer Archer Aviation announced that it had reached an agreement in principle with Stellantis.
Under the agreement, Stellantis will bear labor-related costs of up to US$370 million to support Archer’s production increase plan.
Photo source: Archer, this funding will solve Archer’s urgent needs, bringing the annual production of its flagship product “Midnight” flying taxis to 650 aircraft.
As of the end of June this year, Archer’s cash and cash equivalents were US$360.
4 million.
, Archer subsequently received another $230 million in equity funding, including investments from Stellantis and United Airlines.
Stellantis is Archer’s largest shareholder and will receive Archer’s stake on a quarterly rolling basis based on labor costs incurred by Archer.
, In addition, Archer also said that airline Future Flight Global plans to purchase as many as 116 Midnight flight taxis with a total value of up to US$580 million and has already made a down payment.
, Archer also announced plans to launch an air travel network in Los Angeles, one of the most congested cities in the United States, which will begin operations as early as 2026, when passengers in Los Angeles will be able to travel to nearby vertical landing points and fly on Archer’s Midnight for 10 to 20 minutes.
, you can reach your destination in the network.
Archer has not disclosed the scale of investment in the planned Los Angeles project.
, The electric vertical take-off and landing (eVTOL) aircraft industry faces battery and infrastructure hurdles and needs money to expand production, but has not yet been certified to carry passengers in the United States.
, Investors ‘attitude towards U.S. eVTOL manufacturers has become colder this year, causing Archer’s share price to fall 35%, and the share price of its rival Joby Aviation also fell 21.8%. However, Archer’s share price rose after announcing an agreement in principle with Stellantis, but fell back again after the latest quarterly earnings report was released as the company’s poor performance led to another loss.
, Return to the first electric network home page>,.
