Vertical Aerospace to go public in $2.2b SPAC, gets American Airlines investment

Vertical Aerospace, an electric vertical takeoff and landing aircraft (eVTOL) maker backed by investors such as American Airlines, will go public through a merger with a blank-check firm in a deal valued at $2.2b, the company said on Thursday. Vertical Aerospace said it has pre-orders for up to 1,000 eVTOL aircraft with launch customers Avolon and American Airlines, along with a pre-order option from Virgin Atlantic, all valued at up to $4b. “If you think about transportation strategically this is the next big frontier,” said Domhnal Slattery, CE of Avolon, the world’s third-largest aircraft leasing company. “Whether it is airlines operating this as an add-on product or ride sharing businesses in different jurisdictions, I think it is going to take a lot of different forms over time.” Investment in the zero-emission electric aircraft comes at a time when aviation companies are under mounting pressure from investors to help decarbonize the sector and boost their environmental, social and governance (ESG) scores. Analysts say a key question is how long it will take for the new electric aircraft to be certified by aviation authorities.<br/>