Vertical Aerospace Secures up to $850M for Valo

AeroMorning March 30, 2026

March 30, 2026 – Vertical Aerospace has announced that it has reached a preliminary agreement for a financing package of up to $850 million to support the development and certification of its Valo eVTOL through 2027 and beyond.

The announced financing includes several components:

• $50M raised today through a share issuance.
• An additional $30M expected in the coming weeks.
• Up to $250M in convertible preferred shares via Yorkville Advisors Global.
• An equity line of credit of up to $500M over 36 months.
• Mudrick Capital Management is extending and restructuring existing convertible debt.

The company plans to use these funds to:

1. Complete piloted transition testing of the prototype.
2. Conduct public flight demonstrations.
3. Advance the construction of its manufacturing line in the United Kingdom.
4. Launch production of the first Valo certification aircraft.
5. Progress testing with regulatory authorities (CAA, EASA, FAA).

The finalization of the agreements remains non-binding until April 19, 2026, and there is no guarantee that they will be concluded on the current terms.
Vertical now aims for Valo eVTOL type certification in 2028.

Financial and Market Context

According to recent financial articles, Vertical Aerospace faces significant cash challenges:

• An operating loss of $127M in 2025, below market expectations.
• A relatively low cash level (~$93M at the end of 2025) and high future financing needs.
• The Vertical Aerospace’s stock (EVTL) stock is significantly undervalued compared to its major competitors.

How Does Valo Compare to Its Competitors?

a – Joby Aviation – Certification Leader

Joby Aviation (NYSE: JOBY) is considered one of the most advanced in the FAA certification process for its five-seat eVTOL.

·        Joby has begun production model testing and is moving toward the Type Inspection Authorization (TIA), a key step before final certification for commercial operations.

·        Industry media report that Joby is generally seen as closest to obtaining full FAA certification, with commercial pilot operations planned in some markets as early as 2026.

·        Financially, Joby also trades with a market capitalization far above that of Vertical.

Archer Aviation – Partial Certification & Operational Network

Archer Aviation (NYSE: ACHR) is developing the Midnight eVTOL, with a strategy more focused on manufacturing and sale/lease rather than direct operation.

• Archer has made progress in FAA certification but is behind Joby in the pure type certification process.
• However, the company has already obtained several operational certifications (Part 135 commercial transport, Part 145 maintenance, Part 141 pilot training), positioning Archer well to build a service network once aircraft certification is achieved.
• Its order book is significant, including high-value agreements.

Eve Air Mobility (Embraer) – Strong Commercial Position but Longer Timeline

Eve Air Mobility is Embraer’s eVTOL division, with a different industrial strategy:

• Eve has already presented prototypes and completed advanced development stages.
• It benefits from significant contracts (several thousand units ordered) and support from the aircraft manufacturer Embraer, which may help mitigate regulatory risks.
• Certification and entry-into-service plans are generally expected around 2026–2027, possibly slightly before or after Valo depending on test success.

Quick Comparison of Key eVTOL Players in 2026

(Based on sources available as of March 30, 2026)

Conclusion

Today’s official press release dated March 30, 2026, confirms that Vertical Aerospace has secured potential financing of up to $850M to support the development and certification of its Valo eVTOL, with a certification target of 2028.

However, Valo is generally considered less advanced in certification than Joby and Archer products, and probably comparable to Eve depending on the speed of upcoming tests. Joby remains ahead to be the first to obtain full FAA certification, while Archer is progressing in parallel with a strategy more focused on operations.