German electric air taxi start-up Lilium has announced a significant capital increase of $250 million, bringing it one step closer to achieving its goal of revolutionizing the aviation industry. The company’s CEO, Klaus Roewe, says Lilium plans to use the funding to continue its development program and accelerate its mission to create the first all-electric vertical take-off and landing jet.
See also: Lilium Air Mobility targets the production of 400 electric flying taxis per year
The capital increase is expected to cover most of the estimated capital needed for Lilium’s first crewed test flight in the first half of next year. However, the company notes that this is not yet final, and it is still in discussions with existing and potential new investors.
The announcement comes after Lilium co-founder Daniel Wiegand revealed in March that the company needed around $300 million to get through the certification phase. Existing investor Tencent has pledged $100 million in funding, and it is ready to release another $75 million if Lilium manages to raise the same amount again from other investors.
See also: Lilium Seeks New Funding as it Ramps Up Battery-Cell Production for its Innovative Air Taxi Design
Lilium has already raised over €206 million in funding, according to a letter to investors at the end of 2022. However, the start-up is expected to spend €125 million in the first half of this year alone, as it builds six aircraft for the certification phase.
If all goes according to plan, Lilium’s eVTOL aircraft will make its first manned flight in the second half of next year. With the latest capital increase, the company is well on its way to making this a reality.
