Boeing has finalized a deal to divest three of its specialized subsidiaries to Archer Aviation. The manufacturer will transfer Wisk Aero, SkyGrid, and Insitu to the eVTOL developer in exchange for a 19.75% equity stake in Archer. The agreement also provides Boeing with options to increase its holdings over the next four years.
This transaction signals a broader effort by Boeing CEO Kelly Ortberg to simplify the company’s organizational structure. By offloading these experimental units, Boeing aims to dedicate more capital and management attention to its core commercial airplane, defense, and space businesses.
For Archer Aviation, the acquisition provides a significant boost to its technical capabilities. The integration of Wisk’s autonomous flight systems, SkyGrid’s air traffic management infrastructure, and Insitu’s drone manufacturing expertise expands Archer’s footprint beyond civilian air taxis. Archer management noted that the acquisition allows the firm to diversify its revenue base and scale operations more rapidly as it approaches its commercial deployment goals.
Market reaction to the announcement was immediate, with Archer shares climbing 20% in trading following the disclosure.