Xpeng's Flying Car Unit, Aeroht, Secures $150 Million in New Funding Round

Xpeng's flying car subsidiary, Aeroht, has successfully secured $150 million in its Series B1 funding round and has simultaneously launched a Series B2 round. This new round of funding marks the company's first since its last financing round nearly three years ago.

Xpeng Aeroht announced that the newly acquired funds will be directed towards the development, mass production, and commercialization of its flying cars. The company is set to establish the world’s first factory capable of mass-producing flying cars in the Guangzhou development zone. This factory will initially focus on producing the flying body component of its modular flying car.

The company reiterated its goal to begin pre-sales of the modular flying car in the fourth quarter of this year. This announcement follows nearly three years after Xpeng Aeroht's previous funding round, which was concluded on October 19, 2021, raising over $500 million in Series A funding. During that round, Xpeng Aeroht's pre-investment valuation exceeded $1 billion, with key investors including IDG Capital, 5Y Capital, and Xpeng. However, the company did not disclose any updated valuation or investor details in the latest announcement.

Xpeng Aeroht, established in 2013, is a tech unit predominantly owned by Guangzhou-based Xpeng and its chairman and CEO, He Xiaopeng. At the Shanghai Auto Show in April 2021, the company unveiled the X1, a flying car the size of a regular vehicle, capable of vertical takeoff and landing within a parking space.

During a tech day event on October 24, 2023, Xpeng outlined Aeroht's development trajectory for its flying cars, which includes electric vertical takeoff and landing (eVTOL) flying cars and modular flying cars. The modular vehicle will consist of a flying car and a parent vehicle that powers it. The parent vehicle will feature an extended-range powertrain, 6x6 all-wheel drive, and support for rear-wheel steering.

On July 4, Xpeng Aeroht signed an investment and cooperation agreement with authorities in the Guangzhou development zone to construct a research, development, manufacturing, and sales center for flying cars in the area. The company is accelerating its commercialization efforts and has already signed agreements with nearly 60 flight camps, as announced today.

This new funding round represents a significant milestone in Xpeng Aeroht's journey towards realizing its modular flying car project. The company’s commitment to innovation and development, bolstered by this financial injection, positions it to advance its flying car technology and bring its products to market. The investment and cooperation agreements further solidify Xpeng Aeroht's competitive edge in the burgeoning flying car industry and set the stage for future successes.