Aerion a Texas supersonic jet developer company founded by billionaire Robert Bass is facing challenges in securing additional funding to build its AS2 aircraft. The company is backed by aerospace giant Boeing.
The company became unable to secure it’s additional funds to produce its AS2 business jet hence, closing down its operations.
Florida Today quoted Aerion in a statement saying, “In the current financial environment, it has proven hugely challenging to close on the scheduled and necessary large new capital requirements to finalise the transition of the AS2 into production”.
According to the report, the company has ended its ambitions in the nascent field of supersonic civil aviation.
Aerion secured a strategic investment from Boeing in 2019, chose GE Aviation to produce the AS2’s new supersonic engine Affinity and accumulated more than $11 billion in orders – including a deal in March for 20 AS2 planes from NetJets, a unit of Warren Buffett’s Berkshire Hathaway.
Following the Covid-19 pandemic that gravely hit air travel and leading to airlines not buying planes, aerospace manufacturers struggled thereafter.
In February, Aerion held talks to go public through a merger with special purpose acquisition company Altitude Acquisition, according to a Bloomberg report, which cited unnamed sources.
Aerion had planned to begin production of its AS2 supersonic business jet in 2023, with its first flight pegged for 2025.