The company, backed by Honeywell Aerospace, Safran and other major investors, said the move will help get the EL9 Ultra Short from development into significant commercial production and create 1,975 jobs.
The EL9 is a fixed-wing aircraft that uses hybrid-electric propulsion to take off and land in as little as 150 feet and aims to bring air travel for point-to-point routes up to 250 miles that might otherwise be served by cars in a new category called “Direct Aviation” using access points such as parking lots, barges and sports fields.
“The investment timing is all about having a clear view of the market. The demand is there, the product is there,” said Electra CEO Marc Allen in an interview at Farnborough airshow. “We’re in the certification pathway with the FAA, and we’re making really good progress. It’s time to build a factory.”
Allen said there are 32 million trips happening daily across the continental U.S. between 50 miles and 250 miles with just 0.6% taken by air. The planes do not need a long runway, so they can land almost anywhere.
The company is working to win FAA certification and expects to have its first flight in late 2027 or 2028. The initial phase will support capacity for up to 400 aircraft per year.
Companies are spending billions of dollars on next-generation air mobility solutions like flying air taxis, also known as electric vertical take-off and landing aircraft.
Electra investors include Lockheed Martin Ventures, Honeywell and Safran Corporate Ventures.
Last week, Electra said it signed a production agreement with Safran Helicopter Engines that includes an initial order for 250 turbogenerators. A turbogenerator is a gas turbine combined with one or more electric generators and a system of electrical power and voltage regulation.
Electra was among the companies selected by the U.S. government’s pilot program aimed at speeding up deployment of flying air taxis and other advanced air mobility technology.
Electra is working to allow the EL9 aircraft to enter service in 2030. Electra has 2,200 aircraft ordered by 63 customers awaiting deliveries.