Eve, the electric aircraft subsidiary of Brazil's Embraer, has secured an $88 million loan from the Brazilian Development Bank (BNDES). This funding is earmarked for establishing Eve's first production facility, a critical step in their strategy to produce electric vertical takeoff and landing (eVTOL) aircraft for short urban trips.
As a leader in the emerging battery-powered aircraft market, Eve aims to offer new urban transit solutions to reduce congestion. The company anticipates that its eVTOL aircraft will receive certification and begin operations in 2026. Eve has already gathered nearly 3,000 potential orders, which could generate around $14.5 billion in expected revenue.
The inaugural factory will be located in Taubaté, Brazil, chosen for its logistical advantages and proximity to Embraer's base in São José dos Campos. Once fully operational, the facility is expected to have an annual production capacity of 480 aircraft.
This latest loan from BNDES supplements a previously approved $92.5 million credit line in 2022, also supporting Eve's eVTOL project development. The new loan spans 16 years, underscoring the long-term nature of Eve's business plan.
Eve's CFO, Eduardo Couto, highlighted the importance of this financing, noting it strengthens the company's cash position with long-term financing aligned with its strategic objectives. He emphasized Eve's commitment to shareholder value and balanced capital structure through equity and debt financing.
This strategic move by Eve is part of its efforts to become a leader in the electric aircraft industry, with financial backing and market potential underscoring confidence in the future of urban air mobility.
