Archer Aviation Buys Boeing's Drone Business for $200 Million
Archer Aviation has agreed to purchase three businesses from Boeing in an all-stock deal worth $200 million. The acquisition includes Wisk Aero, SkyGrid, and Insitu, a profitable military drone maker with over $200 million in annual revenue.
The deal gives Boeing a 19.75% stake in Archer Aviation, equivalent to nearly one-fifth of the company's outstanding shares. Boeing will also receive two warrants worth approximately $100 million each and a seat on Archer Aviation's board.
Insitu brings significant financial benefits to Archer Aviation, which has been struggling with development costs for its air taxi service. The addition of Insitu's revenue stream could provide a crucial lifeline as Archer Aviation awaits FAA certification for its aircraft.