Astro Aerospace, a developer of eVTOL aerial vehicles and drones, and Horizon Aircraft, also a developer of advanced eVTOLs, have entered into an agreement under which Astro will acquire privately held Horizon for five million common shares of Astro stock. The transaction was unanimously approved by the respective Boards of Directors.
The acquisition will broaden Astro's capabilities, and become a leading eVTOL platform while continuing to invest and innovate. The company's acquisition of Horizon is expected to close in approximately ten days, subject to customary closing conditions. Upon closing the transaction, the CEO and Co-Founder of Horizon, Brandon Robinson, will be appointed as President of Astro and will sit on the Board of Directors. Jason O'Neill, Horizon's Chief Operating Officer, will be appointed Executive Vice President of Astro.
Astro's existing Alta and Elroy programs, combined with Horizon's highly accomplished team of engineering and design talent, is expected to better position the Company to pursue its goal of commercialization. This approach will emphasize existing technology and elegant design to become a leader in the eVTOL market. The new funding provided by Astro will enable Horizon to accelerate development of its Cavorite X5 eVTOL advanced prototype. The Company believes this new aerospace technology offers significant advantages over current conventional aircraft including lower operating costs, a reduced noise footprint, increased safety and lower carbon emissions.
"Astro and Horizon, two organizations focused on developing innovative air mobility solutions, is a very exciting and promising combination. Our aligned business model, enhanced by the complementary expertise and capabilities of the founder-led Horizon team, creates significant opportunities for accelerated growth while simultaneously delivering value to our shareholders," said Astro CEO Bruce Bent.
Horizon Co-Founder and CEO Brandon Robinson stated, "The Horizon family has found a great home in Astro and will continue operating with its distinct culture: excellence in product development and a deep passion for aviation. Horizon and Astro share in the mission of being at the forefront of eVTOL design and together we will be a more attractive and exciting company for our employees, our partners, and our investors.