Joby Is Buying a Defense Company. Archer Plans to Buy 3 From Boeing. Here's Which Pivot Makes More Sense.
In August, Joby Aviation (NYSE: JOBY) said that it was on track to acquire defense specialist Resonant Sciences in a $500 million, all-cash deal. The electric vertical take-off and landing ( eVTOL ) aircraft specialist announced that it was poised to raise $750 million in funding by selling new common stock. The announcement of Joby's defense acquisition came almost immediately after Archer Aviation (NYSE: ACHR) said that it was acquiring three subsidiaries from Boeing . In exchange for a roughly 16.5% stake in its business after accounting for new stock issuance to fund the deal, Archer is on track to acquire the autonomous eVTOL specialist Wisk Aero, the air-traffic-management software provider SkyGrid, and the drone specialist Insitu from Boeing. Image source: Joby Aviation. Continue reading