Bullish indicating open at $55-$60, IPO prices at $37
LONDON - Electric aircraft developer Vertical Aerospace (NYSE:EVTL), currently trading at $6.95 with a market capitalization of $588 million, has priced its public offering of $60 million in ordinary shares at $5.00 per share, the company announced Wednesday.
The offering is expected to close around Thursday, July 10, subject to customary closing conditions. Underwriters Deutsche Bank Securities and William Blair have been granted a 30-day option to purchase up to an additional 1.8 million ordinary shares. According to InvestingPro data, the company holds more cash than debt on its balance sheet, though its current ratio of 0.72 indicates some liquidity constraints.
Vertical Aerospace plans to use the proceeds to fund research and development as it continues developing its electric vertical take-off and landing (eVTOL) aircraft. The funds will also support expansion of testing and certification capacities, along with general working capital needs. While the company reported an EBITDA of -$85.73M in the last twelve months, InvestingPro analysis suggests net income is expected to grow this year, with analysts forecasting profitability. Get access to 10+ additional ProTips and comprehensive financial analysis with an InvestingPro subscription.
The Bristol-based company is developing the VX4, a piloted four-passenger electric aircraft with zero operating emissions, and is also working on a hybrid-electric variant. Vertical Aerospace has secured approximately 1,500 pre-orders from customers including American Airlines, Japan Airlines, GOL, and Bristow. The company’s next earnings report is scheduled for August 1, 2025, which could provide crucial updates on the development timeline.
The offering follows the company’s registration statement on Form F-3 filed with the SEC on May 13, 2025, which was declared effective on May 16, 2025.
Vertical Aerospace combines partnerships with aerospace companies like GKN, Honeywell, and Leonardo with its own proprietary battery and propeller technology development. The company’s leadership team includes executives with experience from major aerospace and automotive firms such as Rolls-Royce, Airbus, GM, and Leonardo.
This article is based on a press release statement from Vertical Aerospace.
In other recent news, Vertical Aerospace announced a $60 million underwritten public offering of ordinary shares, with a potential additional $9 million available to underwriters. The funds raised will be used to support the company’s research and development, expand testing capabilities, and cover general working capital needs. Deutsche Bank Securities and William Blair are acting as joint bookrunners for this offering. In a strategic move, Vertical Aerospace has expanded its partnership with Bristow Group, which includes a pre-order for up to 100 of Vertical’s VX4 aircraft. This collaboration aims to provide turnkey solutions for eVTOL operators, focusing on operational aspects like certified aircraft and trained pilots. Additionally, analysts at H.C. Wainwright have raised their price target for Vertical Aerospace to $15, maintaining a Buy rating. This adjustment reflects expectations for increased revenue from defense applications, especially following a recent Executive Order that could accelerate eVTOL market development. The company continues to strengthen its strategic direction with the addition of former MI5 Director General Lord Andrew Parker to its board.
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