Business Wire | October 12, 2023
Archer Aviation Inc. a leader in electric vertical takeoff and landing (eVTOL) aircraft, today announced that it has closed agreements with Synovus Bank and Evans General Contractors, LLC for the financing and development of its high-volume manufacturing facility in Covington, Georgia. Construction is already underway on the first phase of the Covington facility build out of approximately 350,000 square feet to support production of up to 650 aircraft per year, which would make it the world’s largest eVTOL aircraft manufacturing facility by volume.
Archer expects to produce the highest volume of eVTOL aircraft while bearing a dramatically lower manufacturing capital cost than projects announced by competitors in the industry. Today’s announcement secures at least $65 million in financing which represents a substantial majority of the cost of construction for the first phase of Archer’s eVTOL manufacturing facility. In conjunction with previously announced incentives from the state of Georgia and Archer’s partnership with Stellantis, today’s announcement advances the company’s strategy of creating the most capital efficient path to scaled manufacturing. This is also possible due to Archer’s business strategy of partnering with top tier aerospace suppliers, like Honeywell and Safran, for a majority of Midnight’s components, streamlining the manufacturing and assembly process dramatically while allowing for a facility that is set to achieve high volumes of output.
Phase one of Archer’s high-volume manufacturing facility is on target to be completed in 2024 ahead of Midnight’s planned entry into service in 2025. Phase two of the facility provides the capability to expand the operation to approximately 900,000 square feet to support long-term production targets of over 2,000 aircraft per year.
“The ability to manufacture eVTOL aircraft at scale is critical to building a successful business in this industry and Archer continues to maintain a significant lead on this front. Today, we’re taking another major step forward on our manufacturing buildout by securing a design-build agreement and financing agreement for the world’s first, and largest by volume, eVTOL manufacturing facility,” said Adam Goldstein, Archer’s Founder and CEO. “Consistent with our capital efficient strategy of getting to commercialization, we’ve achieved attractive terms on the project. These agreements, along with our already strong partnership with Stellantis, give us the flexibility to ramp up our capacity and become the leading scale manufacturer of eVTOL aircraft in the world.”
Archer has selected Synovus Bank and Evans General Contractors, LLC, respectively, as its financing and development partners. In selecting its partners for the Covington project, Archer considered a range of companies with expertise in high-volume manufacturing facilities in the southeast United States. Goldstein added, “We are committed long-term partners to the community in Covington, Georgia, and we are thrilled to be working with companies who share our vision of having the world’s leading, state-of-the-art eVTOL manufacturing facility right here in the United States.”
Archer’s goal is to transform urban travel, replacing 60-90 minute commutes by car, with estimated 10-20 minute electric aircraft flights that are safe, sustainable, low noise and cost competitive with ground transportation. Archer’s Midnight is a piloted, four passenger aircraft designed to perform rapid back-to-back flights with minimal charge time in between flights. Archer’s Midnight aircraft will be manufactured at the company’s high-volume manufacturing facility in Covington, GA before being deployed to different customers and markets in the U.S. and abroad.
Archer is designing and developing electric vertical takeoff and landing aircraft for use in urban air mobility networks. Archer’s mission is to unlock the skies, freeing everyone to reimagine how they move and spend time. Archer's team is based in Santa Clara, CA.
Aerospace Manufacturing and Design | October 10, 2023
Garmin has a long-term agreement to provide the state-of-the-art Garmin G3000 integrated flight deck to BETA Technologies for its CX300 electric fixed-wing aircraft and A250 electric vertical takeoff and landing (eVTOL) aircraft. The conventional fixed wing CX300 aircraft and A250 eVTOL aircraft are designed to enable a diverse range of missions and operations including short-haul transport operations for military, cargo, medical, and passenger applications – all with zero emissions and lower operational costs. BETA intends to enter into service as early as 2025 with its ALIA CTOL (CX300), and as early as 2026 with its ALIA VTOL (A250).
"We've been strategically working with BETA for several years in their effort towards bringing a sustainable aviation solution to the market. It's an honor to have our integrated flight deck chosen for the revolutionary A250 and CX300 aircraft and we are thrilled to be part of BETA's mission to grow the electric aviation market," said Phil Straub, Garmin executive vice president & managing director, Aviation.
Garmin's integrated flight deck boasts vibrant high-resolution flights displays and the latest communication, navigation, surveillance air traffic management (CNS/ATM) based on a lightweight and highly flexible open system architecture design enabling a seamless integration with BETA's flight control, propulsion, and battery management systems. Garmin's flexible architecture and agile development process enables BETA to leverage the latest in flight deck technologies while seamlessly integrating BETA's innovative fly-by-wire system and human machine interface designs for electric propulsion and novel operations in an eVTOL aircraft.
"Garmin is widely recognized as the leader in avionics, we're excited to be able to bring this familiar and time-tested experience to our customers. It's gratifying to have the support of this legacy aerospace company as we look to bring our electric aircraft to market. They've been a true strategic collaborator as we work together to develop the next era of sustainable aviation," said Kyle Clark, BETA founder and CEO.
Garmin International Inc. is a subsidiary of Garmin Ltd. which is incorporated in Switzerland. Its principal subsidiaries are in the United States, Taiwan, and the United Kingdom. Garmin and G3000 are registered trademarks of Garmin Ltd. or its subsidiaries.
PR Newswire | October 05, 2023
Allegiant Travel Company announced financing commitments for seven Airbus A320 and four Boeing 737 MAX aircraft from BNP Paribas, Europe's leading bank, and Jackson Square Aviation (JSA), a leading global commercial aircraft lessor.
The innovative $412M deal combines banking and lessor capital to secure Allegiant's aircraft financing needs into the second quarter 2024, while providing the airline with healthy liquidity at an attractive cost in today's market.
"We are delighted with BNP Paribas and Jackson Square's creativity in providing what we believe is an efficient framework that affords us robust liquidity to support foundational investments in our fleet. This transaction taps into young A320 CEO aircraft and will also serve as the inaugural financing for our Boeing 737 MAX equipment," said Robert Neal, Allegiant's senior vice president and chief financial officer.
Allegiant has drawn down $196 million on September 29, and the remainder will be drawn commensurate with its initial 737 MAX deliveries.
"Our relationship with BNP Paribas, spanning more than a decade, has been instrumental in our growth as an ultra-low-cost leader. We are thrilled to welcome Jackson Square Aviation as a new partner as we make air travel more affordable and accessible to leisure travelers," added Neal.
"We are delighted to provide Allegiant, a long-standing client of the bank, an innovative and first-of-its-kind financing solution which combines bank and lessor capital into one transaction. This transaction allows the airline to maximize value while having more structural flexibility to manage its aircraft fleet versus the more traditional aircraft financing alternatives," said Ankush Chowdhury, managing director & head of transportation banking and capital markets at BNP Paribas. "BNP Paribas is honored to partner with Jackson Square Aviation as we continue to innovate in the world of aviation finance with the goal of providing efficient and thoughtful financing solutions to our aviation clients," added Chowdhury.
"It's a great pleasure to have Allegiant as a new airline customer for Jackson Square Aviation and we're pleased to be working together with a long-standing banking partner, BNP Paribas," said Chris Dailey, president & chief commercial officer of JSA. "Combining the strengths of JSA and BNP Paribas, we're able to provide an efficient financing solution for Allegiant's fleet of in-service Airbus A320s and next generation Boeing 737-8-200s, which we're also excited to introduce as a first into our portfolio," said Dailey.
Allegiant currently operates an all-Airbus fleet comprised of 127 Airbus A319s and A320s.
Allegiant has agreed to purchase up to 130 Boeing 737-7 and 737-8-200 models in a multi-year deal, Boeing's first with an ultra-low-cost carrier in the United States. The new 737 MAX additions will afford the airline flexibility, environmental benefits, and new customer features.
AboutAllegiant – Together We Fly
Las Vegas-based Allegiant (NASDAQ: ALGT) is an integrated travel company with an airline at its heart, focused on connecting customers with the people, places and experiences that matter most. Since 1999, Allegiant Air has linked travelers in small-to-medium cities to world-class vacation destinations with all-nonstop flights and industry-low average fares. Today, Allegiant serves communities across the nation, with base airfares less than half the cost of the average domestic roundtrip ticket.