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Air taxi firm Joby acquires defense tech company for $500 million
['Tue', 'August At Pm Gmt', 'Min Read']
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Aug 11 (Reuters) - Joby Aviation said on Tuesday it would buy defense technology company Resonant Sciences for about $500 million, as it looks to scale its business in a growing defense market.
Electric vertical take-off and landing aircraft (eVTOL) companies are focusing more on the military market amid ramped-up defense spending driven by wars in Ukraine and the Middle East.
Here are some more details:• Shares of Santa Cruz, California-based Joby fell 6.5% in premarket trading.
• Joby expects to fund the deal with about $450 million in cash and $50 million in its common stock.
• Upon closing, Resonant will become Joby's dedicated defense business and include its hybrid aircraft and autonomy technologies, while Joby's commercial aircraft business will remain focused on its electric air taxi initiatives.