Volocopter Seeks Investors Following Bankruptcy Filing
The electric air taxi manufacturer Volocopter has entered insolvency proceedings and is actively looking for investors. The company, based in Bruchsal, Germany, has announced that the Karlsruhe District Court has appointed Tobias Wahl from Anchor Rechtsanwälte as the provisional insolvency administrator. According to the firm, a restructuring plan is expected to be developed by the end of February, aimed at securing financing to facilitate the final steps toward market entry.
Currently employing around 500 individuals, Volocopter has yet to receive a type certification from the European Union Aviation Safety Agency (EASA), which is necessary for transporting passengers using its vertical take-off and landing electric aircraft. Despite the recent bankruptcy announcement, the company remains optimistic about obtaining this certification in the upcoming year.
Volocopter's CEO, Dirk Hoke, who is set to depart from the firm at the end of February, stated that the company is positioned well technologically and is competitive in both flight experience and the certification process, both domestically and internationally. A spokesperson for Volocopter confirmed that business operations would continue during the insolvency process, with the primary goal being the preservation of jobs and the utilization of the insolvency proceedings to restructure the company for sustainable competitiveness.
Hoke previously oversaw a reduction in workforce from approximately 700 employees down to the current figure. Recently, Oliver Vogelgesang was appointed as the new finance chief, having previously worked at the also insolvent electric aircraft pioneer Lilium.
Despite governmental discussions regarding financial support for the air taxi industry in Germany, including potential aid from the states of Baden-Württemberg and Bavaria, these funds did not materialize, leading Volocopter to rely on private investors instead. The company had sought significant financial backing to help maintain operations, with discussions around EUR50 million from both federal and state sources failing to yield results.
Initially, Volocopter had planned to showcase its air taxis during the 2024 Summer Olympics in Paris, though it currently lacks the necessary authorization for commercial passenger operations. Nevertheless, it conducted demonstration flights during the event and has plans for various cities, including Rome and Osaka, while focusing on potential applications in emergency medical services in collaboration with ADAC Luftrettung in Germany.
While modern air taxis are promoted for their sustainability and quiet operation, they face scrutiny regarding their efficacy and environmental impact. An analysis conducted by the Leibniz Centre for European Economic Research (ZEW) indicated that travel times may not significantly decrease, and emissions could be higher compared to electric vehicles. However, urban air mobility may serve a vital role in emergency response scenarios and connecting remote regions.
