Archer raises $430m following new Anduril partnership

Anduril and Archer are to jointly develop a hybrid-VTOL aircraft for defence use cases, leading the eVTOL developer to raise a further $430m to support the programme.

The partners are targeting a programme of record from the US Department of Defense (DoD).  The project will also form part of Archer’s new Archer Defense programme.

Participation in the latest equity raise came from existing investors Stellantis and United Airlines and new institutional investors, including Wellington Management and Abu Dhabi investment holding company 2PointZero. It brings Archer’s total capital raise to nearly $2bn to date.

“Rapid innovation and scalable production are critical for maintaining technological superiority,” said Shane Arnott, senior vice president of Engineering at Anduril. “Anduril and Archer share a common vision for advancing capabilities that meet urgent national security needs, and we look forward to partnering with Archer to bring advanced vertical lift aircraft to our customers.”

Joseph Pantalone, Archer’s head of Advanced Projects, will head up Archer Defense. He recently joined the eVTOL developer after accruing nearly 30 years of experience at Lockheed Martin and Sikorsky.

Adam Goldstein, founder and CEO of Archer, said, “The Archer team has deep expertise in the rapid design, engineering, and production of next-generation vertical-lift aircraft. With Anduril by our side, and this new influx of capital, we will accelerate the development and deployment of advanced aerospace technologies at scale.” 

Moelis & Company acted as exclusive placement agent to Archer on this transaction.