Aerion plans to sell as much as US$200 million in debt as it teams up with Lockheed Martin to build a private jet that flies faster than the speed of sound.
It’s the first time Aerion, backed by Texas billionaire Robert Bass, has sought outside financing for its AS2 supersonic jet, a project the company has been working on since 2003. The aspiring plane maker hired Goldman Sachs to help with a debt sale that could take place within a month, said Brian Barents, executive chairman of Aerion.
“Initially we’re going to be looking at somewhere around $150m to $200 m that would get us through to the preliminary design phase, which would be about two years out,” Mr Barents said.
The financing will be a big step forward for the $4 billion project to produce the world’s first supersonic business jet. Aerion has already enlisted General Electric Co. to design an engine exclusively for the plane. The team aims to make the jet’s first flight in 2023, Barents said. Non-military aircraft haven’t flown faster than Mach I - the speed of sound - since the Concorde stopped service in 2003.
Aerion will begin taking orders from customers now and their deposits will contribute to financing development, Mr Barents said. Aerion would consider taking on equity partners as well, he said. The company expects there’s demand for 300 aircraft over a decade.
The company reached out to Lockheed about a year ago and engineers from the world’s largest defence contractor then visited Aerion’s Reno, Nevada, headquarters to review the supersonic jet’s design.
___________
Read more:
Japan Airlines pumps millions into supersonic passenger jet
JetBlue and Boeing back electric plane start-up
___________
“We are excited to work with Aerion on their development of the next-generation, efficient supersonic jet that will potentially serve as a platform for pioneering future supersonic aircraft,” said Orlando Carvalho, executive vice president of Lockheed Martin Aeronautics, in a statement Friday.
Aerion first worked with Airbus, starting in 2014, to review designs for the wing and airframe, as well as help develop systems layout and flight controls, Mr Barents said.
Airbus may have other priorities now. The Toulouse, France-based company reached an agreement with Canada’s Bombardier in October to take over development and marketing of its small commercial airliner known as the CSeries.
The European manufacturer is also grappling with potentially large penalties resulting from a corruption probe, shrinking orders for its A380 jumbo jet and budget overruns on the A400M military transport plane, as well as a management shakeup.
Aside from engine development, a priority for Aerion’s project has always been “teaming with an established, recognized, reputable airframe manufacturer that could bring us to market,” Mr Barents said.
Lockheed, which manufactures fighter jets including the F-35 Lightning II and the F-16 Fighting Falcon, isn’t a complete stranger to the private-plane market. The Maryland-based company built the first dedicated business aircraft, the JetStar, which entered into service in 1961 and had its final delivery in 1978.
The contractor also has helped the Nasa with a programme to mitigate the boom that aircraft produce when flying faster than the speed of sound.
Investment Decision
“Following our initial review of Aerion’s aerodynamic technology, our conclusion is that the Aerion AS2 concept warrants the further investment of our time and resources,” Mr Carvalho said. Decisions on whether to invest directly in the project will hinge on work Lockheed does to help prep the plane for manufacturing and certification, he said.
“We do believe that new materials, new technologies are making civil supersonic flight a realistic near-term possibility,” he said.
GE expects its engine design will allow the AS2 to fly 4,200 nautical miles at a velocity 1.4 times the speed of sound, said Brad Mottier, GE’s chief of business and general aviation and integrated systems. It will adapt parts and technology from existing GE civil and military engines, he said.
“We’ve nearly concluded this initial design exercise and have arrived at a configuration well suited for the AS2’s needs,” Mr Mottier said. “This has been no easy task, otherwise someone would have done a civil supersonic business jet before.”
With Lockheed on the team and GE designing the engine, private-aircraft operator Flexjet is more confident than ever that the plane will become a reality, said Chief executive officer Michael Silvestro. Flexjet was the launch customer for the AS2 two years ago with an order of 20 supersonic jets.
“As you see the progress they’ve made and point to their collaborators - with Lockheed and GE - that does speak volumes,” said Mr Silvestro. “It’s very impressive.”
'Nightmare Alley'
Director:Guillermo del Toro
Stars:Bradley Cooper, Cate Blanchett, Rooney Mara
Rating: 3/5
The%20specs
%3Cp%3E%3Cstrong%3EPowertrain%3A%20%3C%2Fstrong%3ESingle%20electric%20motor%0D%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E201hp%0D%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E310Nm%0D%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3ESingle-speed%20auto%0D%3Cbr%3E%3Cstrong%3EBattery%3A%20%3C%2Fstrong%3E53kWh%20lithium-ion%20battery%20pack%20(GS%20base%20model)%3B%2070kWh%20battery%20pack%20(GF)%0D%3Cbr%3E%3Cstrong%3ETouring%20range%3A%20%3C%2Fstrong%3E350km%20(GS)%3B%20480km%20(GF)%0D%3Cbr%3E%3Cstrong%3EPrice%3A%20%3C%2Fstrong%3EFrom%20Dh129%2C900%20(GS)%3B%20Dh149%2C000%20(GF)%0D%3Cbr%3E%3Cstrong%3EOn%20sale%3A%3C%2Fstrong%3E%20Now%3C%2Fp%3E%0A
NO OTHER LAND
Director: Basel Adra, Yuval Abraham, Rachel Szor, Hamdan Ballal
Stars: Basel Adra, Yuval Abraham
Rating: 3.5/5
Simran
Director Hansal Mehta
Stars: Kangana Ranaut, Soham Shah, Esha Tiwari Pandey
Three stars
The rules on fostering in the UAE
A foster couple or family must:
- be Muslim, Emirati and be residing in the UAE
- not be younger than 25 years old
- not have been convicted of offences or crimes involving moral turpitude
- be free of infectious diseases or psychological and mental disorders
- have the ability to support its members and the foster child financially
- undertake to treat and raise the child in a proper manner and take care of his or her health and well-being
- A single, divorced or widowed Muslim Emirati female, residing in the UAE may apply to foster a child if she is at least 30 years old and able to support the child financially
Company%20Profile
%3Cp%3E%3Cstrong%3ECompany%20name%3A%3C%2Fstrong%3E%20myZoi%3Cbr%3E%3Cstrong%3EStarted%3A%3C%2Fstrong%3E%202021%3Cbr%3E%3Cstrong%3EFounders%3A%3C%2Fstrong%3E%20Syed%20Ali%2C%20Christian%20Buchholz%2C%20Shanawaz%20Rouf%2C%20Arsalan%20Siddiqui%2C%20Nabid%20Hassan%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20UAE%3Cbr%3E%3Cstrong%3ENumber%20of%20staff%3A%3C%2Fstrong%3E%2037%3Cbr%3E%3Cstrong%3EInvestment%3A%3C%2Fstrong%3E%20Initial%20undisclosed%20funding%20from%20SC%20Ventures%3B%20second%20round%20of%20funding%20totalling%20%2414%20million%20from%20a%20consortium%20of%20SBI%2C%20a%20Japanese%20VC%20firm%2C%20and%20SC%20Venture%3C%2Fp%3E%0A
Company profile
Date started: 2015
Founder: John Tsioris and Ioanna Angelidaki
Based: Dubai
Sector: Online grocery delivery
Staff: 200
Funding: Undisclosed, but investors include the Jabbar Internet Group and Venture Friends
At a glance
Global events: Much of the UK’s economic woes were blamed on “increased global uncertainty”, which can be interpreted as the economic impact of the Ukraine war and the uncertainty over Donald Trump’s tariffs.
Growth forecasts: Cut for 2025 from 2 per cent to 1 per cent. The OBR watchdog also estimated inflation will average 3.2 per cent this year
Welfare: Universal credit health element cut by 50 per cent and frozen for new claimants, building on cuts to the disability and incapacity bill set out earlier this month
Spending cuts: Overall day-to day-spending across government cut by £6.1bn in 2029-30
Tax evasion: Steps to crack down on tax evasion to raise “£6.5bn per year” for the public purse
Defence: New high-tech weaponry, upgrading HM Naval Base in Portsmouth
Housing: Housebuilding to reach its highest in 40 years, with planning reforms helping generate an extra £3.4bn for public finances
Dates for the diary
To mark Bodytree’s 10th anniversary, the coming season will be filled with celebratory activities:
- September 21 Anyone interested in becoming a certified yoga instructor can sign up for a 250-hour course in Yoga Teacher Training with Jacquelene Sadek. It begins on September 21 and will take place over the course of six weekends.
- October 18 to 21 International yoga instructor, Yogi Nora, will be visiting Bodytree and offering classes.
- October 26 to November 4 International pilates instructor Courtney Miller will be on hand at the studio, offering classes.
- November 9 Bodytree is hosting a party to celebrate turning 10, and everyone is invited. Expect a day full of free classes on the grounds of the studio.
- December 11 Yogeswari, an advanced certified Jivamukti teacher, will be visiting the studio.
- February 2, 2018 Bodytree will host its 4th annual yoga market.
RESULTS
Time; race; prize; distance
4pm: Maiden; (D) Dh150,000; 1,200m
Winner: General Line, Xavier Ziani (jockey), Omar Daraj (trainer)
4.35pm: Maiden (T); Dh150,000; 1,600m
Winner: Travis County, Adrie de Vries, Ismail Mohammed
5.10pm: Handicap (D); Dh175,000; 1,200m
Winner: Scrutineer, Tadhg O’Shea, Ali Rashid Al Raihe
5.45pm: Maiden (D); Dh150,000; 1,600m
Winner: Yulong Warrior, Richard Mullen, Satish Seemar
6.20pm: Maiden (D); Dh150,000; 1,600m
Winner: Ejaaby, Jim Crowley, Doug Watson
6.55pm: Handicap (D); Dh160,000; 1,600m
Winner: Storyboard, Richard Mullen, Satish Seemar
7.30pm: Handicap (D); Dh150,000; 2,200m
Winner: Grand Dauphin, Gerald Mosse, Ahmed Al Shemaili
8.05pm: Handicap (T); Dh190,000; 1,800m
Winner: Good Trip, Tadhg O’Shea, Ali Rashid Al Raihe
HER%20FIRST%20PALESTINIAN
%3Cp%3EAuthor%3A%20Saeed%20Teebi%3C%2Fp%3E%0A%3Cp%3EPages%3A%20256%3C%2Fp%3E%0A%3Cp%3EPublisher%3A%C2%A0House%20of%20Anansi%20Press%3C%2Fp%3E%0A
%E2%80%98White%20Elephant%E2%80%99
%3Cp%3E%3Cstrong%3EDirector%3A%3C%2Fstrong%3E%20Jesse%20V%20Johnson%3Cbr%3E%3Cstrong%3EStars%3A%3C%2Fstrong%3E%20Michael%20Rooker%2C%20Bruce%20Willis%2C%20John%20Malkovich%2C%20Olga%20Kurylenko%3Cbr%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%203%2F5%3C%2Fp%3E%0A
PROFILE OF HALAN
Started: November 2017
Founders: Mounir Nakhla, Ahmed Mohsen and Mohamed Aboulnaga
Based: Cairo, Egypt
Sector: transport and logistics
Size: 150 employees
Investment: approximately $8 million
Investors include: Singapore’s Battery Road Digital Holdings, Egypt’s Algebra Ventures, Uber co-founder and former CTO Oscar Salazar
Director: Laxman Utekar
Cast: Vicky Kaushal, Akshaye Khanna, Diana Penty, Vineet Kumar Singh, Rashmika Mandanna
Rating: 1/5
Film: Raid
Dir: Rajkumar Gupta
Starring: Ajay Devgn, Ileana D'cruz and Saurabh Shukla
Verdict: Three stars
A timeline of the Historical Dictionary of the Arabic Language
- 2018: Formal work begins
- November 2021: First 17 volumes launched
- November 2022: Additional 19 volumes released
- October 2023: Another 31 volumes released
- November 2024: All 127 volumes completed
CONCRETE COWBOY
Directed by: Ricky Staub
Starring: Idris Elba, Caleb McLaughlin, Jharrel Jerome
3.5/5 stars
The specs
AT4 Ultimate, as tested
Engine: 6.2-litre V8
Power: 420hp
Torque: 623Nm
Transmission: 10-speed automatic
Price: From Dh330,800 (Elevation: Dh236,400; AT4: Dh286,800; Denali: Dh345,800)
On sale: Now
