Vertical Aerospace Says It Mutually Agreed To Exit Contract With Rolls-Royce To Design An Electric Propulsion Unit; Company To Receive A Cash Amount From Rolls-Royce By June 30, Which Will Cover Anticipated Costs Of An Alternative EPU Design

Author: Benzinga Newsdesk | May 24, 2024 06:17am

• This follows Rolls-Royce's announcement in November 2023 of its intention to seek a partner or buyer for its advanced air mobility activities.
• Vertical is already working with other EPU suppliers for its new prototype, and the exit of this contract has no impact on the completion of this prototype or its identical twin. Vertical is now in active engagement with a shortlist of potential EPU partners for the certification and production aircraft following the launch of a formal tender process. Vertical continues to target type certification by the end of 2026.
• The agreement also includes the return to Vertical of Rolls-Royce's EVTL shares, which it initially acquired as a private investment in public equity (PIPE) investor in 2021.

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