Benzinga | Jul 19, 2021 02:42PM EDT

United Airlines To Acquire 100 Of Heart Aerospace's ES-19 Aircraft

* United Airlines Holdings Inc (NASDAQ:UAL) corporate venture fund United Airlines Ventures, along with Breakthrough Energy Ventures and Mesa Airlines (NASDAQ:MESA), have invested in electric aircraft startup Heart Aerospace.

* Heart Aerospace is developing the ES-19, a 19-seat electric aircraft that can fly customers up to 250 miles before the end of this decade.

* Additionally, United Airlines has conditionally agreed to purchase 100 ES-19 aircraft. Mesa Airlines has also agreed to add 100 ES-19 aircraft to its fleet.

* United Airlines Ventures is building a portfolio of companies that focus on innovative sustainability concepts and create the technologies and products necessary to build a carbon-neutral airline and reach United's net-zero greenhouse gas emissions goals.

* This investment demonstrates confidence in Heart's design and creates the potential for Heart to fast-track the ES-19 introduction to the market as early as 2026.

* United Airlines expects the short-haul regional air travel market to play a key role in the evolution of electric aircraft.

* Price action: UAL shares are trading lower by 6.02% at $43.24 on the last check Monday.