BETA Technologies could get $100m-plus financing from EXIM Bank
BETA Technologies may be about to receive over $100m in financing from the US Export-Import Bank, according to a notice in the Federal Register.
Initially broken by The Air Current, the cash, which is subject to a comment period and final decision by the EXIM Board, will be used to finance a BETA manufacturing facility under the Make More in America initiative — which focuses on helping domestic small and medium enterprises gain global market entry, particularly in areas related to national defence. The facility will then enable the production of electric-powered aircraft, a portion of which is expected to be exported, according to the notice.
The Federal Register summary stated: “This Notice is to inform the public the Export-Import Bank of the United States (“EXIM”) has received an application for final commitment for a long-term loan or financial guarantee in excess of $100 million. Comments received within the comment period specified below will be presented to the EXIM Board of Directors prior to final action on this Transaction.”
Earlier this month, the firm cut the ribbon on its production facility based at Burlington International Airport. The 188,500-square-foot space is currently undergoing the installation of its assembly tooling and production lines. The Vermont-based company is developing two versions of its ALIA aircraft, a CTOL and an eVTOL. The conventional variant will be the first to undergo FAA certification.
A primary focus of Make More in America is to accelerate quality job creation. BETA currently employs around 600 staff and expects to gradually expand its workforce as it approaches commercial entry and ramps up production. Something the initiative will certainly be considering because it decides financing levels based on the number of US jobs created over financing period.
Also, the initiative eases restrictions on product export percentages for small enterprises, climate-related deals and transformational export areas, these sit at 15% versus 25% in other sectors.
The comments period ends on November, 7 whilst a final decision will be available in the Summary Minutes of Meetings of Board of Directors on EXIM’s website.
BETA Technologies has not yet responded to a request for comment on the Federal Register notice.