Stellantis is joining forces to start the production facility Archer recently announced in Covington, Georgia. Stellantis, in order to produce the aircraft; It will contribute with advanced production technology and expertise, experienced personnel and capital.
Stellantis' contribution will help strengthen Archer on its path to commercialization without spending hundreds of millions of dollars. Stellantis aims to mass-produce Archer's eVTOL aircraft as an exclusive contract manufacturer.
Stellantis will voluntarily provide up to $2023 million in equity in 2024 and 150 against Archer's possible withdrawal. Stellantis plans to increase its strategic stake in Archer by purchasing Archer stock in the free market in the future.
Stellantis and Archer Aviation Inc., one of the world's leading automotive groups, announced that they have agreed to expand their partnership by joining forces to produce the Midnight, Archer's Flagship electric vertical take-off and landing (eVTOL) aircraft.
Stellantis is joining forces to start the production facility Archer recently announced in Covington, Georgia. The two companies plan to start producing the Midnight aircraft in 2024. Midnight; It is designed to be safe, sustainable, silent and can carry four passengers and a pilot with a payload of over 454 kilograms (one thousand pounds). The Midnight has a range of 100 miles, optimized for short-haul trips of about 10 miles on a charge of about 20 minutes.
This unique partnership in the urban air transport industry will leverage each company's strengths and competencies to bring the Midnight aircraft to market. Archer's top eVTOL team will provide electric powertrain and certification expertise, while Stellantis will contribute to the partnership with advanced manufacturing technology and expertise, experienced staff and capital. This combination will help meet Archer's commercialization plans to rapidly scale aircraft production and strengthen Archer's path to commercialization without spending hundreds of millions of dollars moving into production. Stellantis aims to mass-produce Archer's eVTOL aircraft as an exclusive contract manufacturer.
Stellantis will also voluntarily provide up to $2023 million in equity capital against Archer's possible withdrawal in 2023 and 2024, depending on the achievement of Archer's 150 business goals.
Stellantis also plans to increase its strategic shareholding by purchasing Archer shares in the free market in the future. All these actions, along with other elements of the expanded partnership, will make Stellantis a long-term investor in Archer.
Carlos Tavares, CEO of Stellantis; “We have been working closely with Archer for the past two years. I was very impressed with their creativity and determination to reach their goals. Deepening our partnership with Archer as a strategic investor with plans to grow our stake demonstrates how Stellantis is pushing the boundaries to deliver sustainable mobility freedom from roads to sky. By supporting Archer with our manufacturing expertise, we are shaping the mobility of tomorrow at Stellantis.” said.
Archer Founder and CEO Adam Goldstein; “The fact that Stellantis is continuously supporting Archer on its path to commercialization and joining forces to manufacture the Midnight aircraft with us puts Archer in a strong position to be first to market. The two companies are taking these important steps together to realize a rare opportunity to redefine urban mobility.” he said.
Stellantis has been Archer's strategic partner as different joint ventures since 2020 and investor since 2021. During this time, Archer has leveraged Stellantis' deep-rooted manufacturing, supply chain and design expertise in conjunction with Archer's efforts to design, develop and commercialize the eVTOL aircraft.
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