Archer buys former rival Wisk Aero
Archer Aviation has acquired its former rival Wisk Aero from Boeing in a deal that grants Boeing a significant ownership stake in Archer. This acquisition resolves a long-standing legal dispute over intellectual property and consolidates key players in the electric vertical takeoff and landing aircraft market.
Why it matters
The merger marks a major consolidation in the emerging electric aviation industry, potentially accelerating the development of autonomous air taxi technology.
Three years after settling a trade secret lawsuit, electric aircraft company Archer Aviation now owns its former rival, Wisk Aero .
Under the terms of the deal, Boeing has agreed to sell Wisk Aero and two other subsidiaries to Archer in exchange for an ownership stake in the company, according to a regulatory filing released Monday. The other subsidiaries are SkyGrid, a digital airspace and air traffic management software company and drone maker Insitu.
Boeing will receive newly issued Archer shares equal to 19.75% of Archer’s shares outstanding immediately before closing, resulting in about a 16.5% stake in the company after the deal, according to a regulatory filing and a person familiar with the matter.
The acquisition is a capstone to a once-embittered relationship between two companies developing electric vertical takeoff and landing aircraft.
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