Stellantis to build electric aircraft with Archer, provide strategic funding for growth
Stellantis and Archer Aviation have agreed to expand their existing partnership by joining forces to manufacture Archer’s electric vertical take-off and landing (eVTOL) aircraft, Midnight. Stellantis has been a strategic partner to Archer since 2020, and an investor since 2021.
Now Stellantis will contribute its manufacturing technology and expertise, plus personnel and capital, to help get Archer’s recently announced manufacturing facility in Covington, Georgia up and running. The goal is for Stellantis to mass-produce Archer’s eVTOL aircraft as its exclusive contract manufacturer. Production is slated to begin in 2024.
Stellantis will provide up to $150 million in equity capital for Archer to draw on at its discretion in 2023 and 2024, subject to the achievement of certain business milestones. Stellantis also intends to increase its strategic shareholding through future purchases of Archer stock in the open market.
The Midnight electric aircraft is expected to have a payload of over 1,000 pounds, enabling it to carry four passengers plus a pilot. Its 100-mile range will make it suitable for back-to-back short-distance trips of around 20 miles, with a charging time of approximately 10 minutes.
“Deepening our partnership with Archer as a strategic investor with plans for growing our shareholding demonstrates how Stellantis is pushing the boundaries to provide sustainable freedom of mobility, from the road to the sky,” said Stellantis CEO Carlos Tavares.
“Stellantis’s continued recognition of Archer’s progress toward commercialization, and today’s commitment of significant resources to build the Midnight aircraft with us, places Archer in a strong position to be first to market,” said Adam Goldstein, founder and CEO of Archer.