American Airlines to pre-pay for 50 air taxis from Vertical Aerospace

(Reuters) – Air taxi maker Vertical Aerospace stated on Friday that American Airways Group Inc has agreed to make pre-delivery funds for 50 electrical vertical takeoff and touchdown (eVTOL) plane, lifting its shares as a lot as 71%.

Final yr, American Airways had agreed to pre-order as much as 250 of UK-based Vertical’s eVTOL plane in a $1 billion deal, with an choice to purchase a 100 extra.

Vertical’s VA-X4 plane can carry 4 passengers and a pilot. It might probably fly at speeds of greater than 200 mph over a variety of above 100 miles.

The deal displays rising curiosity in battery-powered plane that may take off and land vertically, providing a brand new means for vacationers to beat visitors and hop between cities.

Vertical Aerospace had final yr reported pre-orders for as much as 1,350 plane price $5 billion from prospects together with American Airways and Virgin Atlantic.

U.S.-listed shares of Vertical have been final up 52% at $4.43 in afternoon commerce.

(Reporting by Kannaki Deka in Bengaluru; Modifying by Devika Syamnath)