Embraer’s Eve to Merge with Zanite SPAC

Company chooses to join a special purpose acquisition company to scale up its air taxi manufacturing business.

Thom Patterson

Tuesday, December 21, 2021 at 11:58 AM ET

Verified

Eve’s multi-rotor pusher eVTOL air taxi is currently under development. [Courtesy: Eve Air Mobility]

Key Takeaways:

Embraer's eVTOL subsidiary, Eve, announced a merger with Special Purpose Acquisition Company (SPAC) Zanite Acquisition Corp. to raise capital and go public on the NYSE, valuing Eve at $2.9 billion.
The merger, expected to close in Q2 2022, will provide Eve with $237 million from Zanite's trust and a $305 million PIPE, with Embraer retaining approximately 82% ownership.
Eve differentiates itself by focusing on manufacturing eVTOLs rather than operating an airline, boasting non-binding orders for 1,735 aircraft valued at $5 billion.
Eve's four-passenger eVTOL, expected to enter service by early 2026, features a simple design leveraging proven Embraer technologies to facilitate certification and operational efficiency.

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In a surprise announcement Tuesday, Embraer’s (NYSE:ERJ) electric vertical takeoff and landing (eVTOL) aircraft manufacturer, Eve, announced it will merge with special purpose acquisition company Zanite Acquisition Corp. to raise capital for scaling up its eVTOL business.

The deal, expected to close in the second quarter of 2022, will put Eve on the New York Stock Exchange, listed under the symbols EVEX and EVEXW.