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LONDON/HOUSTON - Bristow Group Inc. [NYSE: VTOL] and Vertical Aerospace [NYSE: EVTL] announced Thursday an expanded strategic partnership to accelerate commercial adoption of electric vertical takeoff and landing (eVTOL) aircraft. Vertical Aerospace, with a market capitalization of $508 million, has seen its stock surge nearly 22% in the past week, according to InvestingPro data.
Under the agreement, Bristow has placed a pre-order for up to 50 of Vertical’s VX4 aircraft, with options for 50 more. The companies will develop a "ready-to-fly" operations platform that provides turnkey access to certified aircraft, trained pilots, maintenance, and insurance. InvestingPro analysis shows Vertical Aerospace maintains a strong balance sheet with more cash than debt, while analysts expect the company to achieve profitability this year.
The partnership aims to lower barriers to entry for potential eVTOL operators by handling operational aspects while customers focus on customer experience, sales, and network integration. This model mirrors existing approaches used by regional airlines.
"This strategic partnership is about execution and mirrors what already successfully works in aviation today," said Stuart Simpson, CEO of Vertical Aerospace. "It will lower barriers to market entry and accelerate the adoption of eVTOL services worldwide."
Bristow will leverage its global operational footprint, including multiple Air Operator Certificates and maintenance network approvals, to offer fully managed operations for Vertical’s customers. Target markets include airlines, logistics operators and rescue services.
"Bristow has over 75 years of providing critical safety, operational, certification, and logistics expertise," said Chris Bradshaw, President and CEO of Bristow Group.
The companies are also exploring maintenance, repair and overhaul services, including battery swapping and field maintenance solutions.
This agreement supports Vertical’s "Flightpath 2030" strategy for delivering certified and commercially viable eVTOL operations globally. It follows Vertical’s recent completion of the first wingborne flight of a winged eVTOL in European open airspace. With analyst price targets ranging from $2.02 to $15.06 per share, investors can access detailed valuation analysis and 13 additional key insights through InvestingPro’s comprehensive research reports.
The announcement was made in a press release statement from both companies.
In other recent news, Vertical Aerospace has made significant strides in the electric aviation sector. The company announced the successful completion of the first piloted wingborne flight of its VX4 electric vertical take-off and landing (eVTOL) aircraft in European open airspace. This milestone, approved by the UK Civil Aviation Authority, marks a pivotal moment in Vertical Aerospace’s journey toward certification and commercial operation. Analysts at H.C. Wainwright responded to the news by raising their price target for Vertical Aerospace to $15, up from $12, while maintaining a Buy rating. This adjustment comes in light of an Executive Order aimed at accelerating the development of eVTOL technology, which could enhance the company’s revenue prospects.
Additionally, Canaccord Genuity reaffirmed its Buy rating for Vertical Aerospace with a price target of $13.50, highlighting the successful test flight as a major achievement. The company’s VX4 prototype demonstrated controlled wingborne flight, transitioning from vertical takeoff to conventional cruising, a critical step in its Flightpath 2030 strategy. The UK government has also supported Vertical Aerospace through investment initiatives, aligning with the country’s net-zero and aerospace ambitions. As the company progresses toward commercial operations, industry observers are keenly watching its potential to transform electric air travel into a scalable and economically viable mode of transportation.
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