Archer Aviation and Air Chateau, a prominent private aviation operator in the United Arab Emirates (UAE), have entered into a memorandum of understanding (MOU) with an estimated value of $500 million. The MOU outlines Air Chateau's intent to potentially acquire up to 100 of Archer's Midnight electric vertical takeoff and landing (eVTOL) aircraft.
The collaboration is designed to bolster Archer Aviation's recently announced plans to initiate air taxi operations in Abu Dhabi and Dubai by 2026. The parties involved aim to investigate opportunities for collaboration in securing the necessary infrastructure investments to prepare these cities for the planned operations.
Air Chateau intends to own and operate the Midnight aircraft in the region. The Chairman and Founder of Air Chateau views the agreement as marking a “transformative era in the industry” and an “opportunity to pave the way for the future of Air Mobility in Dubai.”
As outlined in the MOU, Air Chateau will make a non-refundable pre-delivery payment of $1 million by the end of the year, with an additional $4 million payment following the formalization of definitive agreements.