Silicon Valley-based electric vertical take-off and landing (eVTOL) aircraft developer Archer Aviation has secured additional financing from its backer Stellantis.
The company said on 9 August that Stellantis has committed another $400 million “to help scale Archer’s Midnight manufacturing to 650 aircraft annually through an obligation to cover manufacturing labour costs as well as certain capital expenditures at Archer’s Georgia manufacturing facility through 2030”.
Stellantis has already invested $300 million in the company, including $55 million during the second quarter of 2024.
Since the end of the three-month period to 30 June it has raised $230 million in equity from both institutional and long-time strategic investors.
“This has been one of Archer’s most productive quarters yet,” says Adam Goldstein, Archer chief executive. “From Midnight’s first transition flight, to the progress we’ve made on the build-out of high-volume manufacturing facilities alongside Stellantis, to the commercial progress we’re making with Southwest, United, and more – we are working tirelessly to enable commercial operations all over the world.”
The company’s “indicative orderbook” is at $6 billion, leaving it “well-positioned to meet our goal of commercialisation as early as next year”, he adds.
The latest Archer customer is Future Flight Global, a company which, according to its website, plans to launch advanced air mobility networks in several regions including the USA, Middle East and Southeast Asia. The company says it will purchase up to 116 Midnight aircraft worth up to $580 million.
Archer has also announced plans for an air taxi network across the Los Angeles basin, which includes vertiports at Los Angeles International airport, Orange County, Santa Monica, Hollywood Burbank, Long Beach and Van Nuys, to begin operations “as early as 2026”.
During the second quarter of 2024, Archer says it had expenses of $121 million, resulting in a net loss of $106.9 million. It ended the period with cash reserves of $360.4 million.
