Archer Aviation to Acquire Wisk Aero, SkyGrid, and Insitu from Boeing

Archer Aviation has entered into a definitive Equity Purchase Agreement with The Boeing Company to acquire its autonomous and unmanned aviation subsidiaries, including Wisk Aero LLC, SkyGrid, LLC, and Insitu, Inc. The transaction is structured primarily as an equity-based deal, with Archer issuing common stock and warrants to Boeing as consideration.

Key Details

• Acquisition Terms: Archer will acquire all equity interests of the target companies from Boeing. In exchange, Boeing will receive shares of Archer's Class A common stock equal to 19.75% of Archer's outstanding shares immediately prior to closing.
• Warrants Issued: Boeing will also receive two warrants, each allowing it to purchase $100 million of Archer's stock. The first warrant has an exercise price of $13.00 per share, and the second has an exercise price of $17.88 per share.
• Governance & Future Investment: Boeing will gain the right to designate one member to Archer's Board of Directors, subject to maintaining a 10% ownership threshold. Additionally, a Forward Equity Purchase Agreement gives Archer the option to have Boeing purchase up to $55 million in additional stock, contingent on a future qualifying equity offering of at least $400 million by Archer.