Today, air taxi firm Lilium revealed in a U.S. regulatory filing that its two main subsidiaries will file for insolvency in the near future.
Shares of Lilium, the electric vertical take-off and landing (eVTOL) vehicle manufacturer, plunged by more than 61% on Thursday after the company announced in a regulatory filing that its two main subsidiaries would likely file for insolvency in the coming days.
Electric aircraft startup Lilium is shutting down after failing to raise emergency money from the German government, according to a regulatory filing.
German air-taxi developer Lilium said on Thursday two of its subsidiaries in the country have decided to file for insolvency following unsuccessful talks with state and federal governments to solve its cash crisis.
Shares of Lilium tanked Thursday after the air taxi firm said in a filing that its two main subsidiaries plan on filing for insolvency in the coming days.
Lilium has been negotiating emergency capital financing with government officials in Germany. The firm's request to receive 50 million euros ($54 million) of state aid from the federal government was rejected.
The company might struggle to source badly needed funding.
Germany-based Lilium plans to begin studying possible air-taxi assembly sites in the U.S. later this year with a goal of having a plant up and running by early 2029 to get a foothold in the one of the world's largest markets, its CEO said.
Lilium (NASDAQ: LILM ) stock is on the rise Thursday as the electric vertical takeoff and landing (eVTOL) company secured an order for up to 100 of its aircraft. This order comes from Saudia Group and includes 50 Lilium eVTOLs.
Saudia Group signed a deal with Lilium on Thursday to purchase 100 all-electric flying shuttles, the Germany-based air taxi developer said, one of the company's biggest orders yet as it works to develop the aircraft.
Lilium is reportedly closing in on a major order from Middle Eastern airline Saudia. The company remains a speculative investment, but it is making progress.
Germany-based air taxi developer Lilium has won a major order from state-owned Saudi Arabian airline Saudia, a source familiar with the deal told Reuters on Wednesday.