Embraer’s Electric Aircraft Business Eve to Go Public Via $2.4 Billion SPAC

Embraer is spinning off its urban mobility subsidiary, Eve, through a special purpose acquisitions company (SPAC), Zanite, which will list on the New York Stock Exchange. The deal, which values the company at $2.4 billion, comes as the startup announces orders for more than 1,000 of its electric vertical take off and landing (eVTOL) aircraft.

Eve is the first company to go public from EmbraerX, the Brazilian airframer's business incubator, and the spin-off occurs when the nascent eVTOLmarket is attracting attention — and billions of dollars — from airlines, urban-mobility companies, and defense departments. By the terms of the deal, Eve will have access to Embraer's engineering and skilled aerospace workforce, as well as its experience in working with regulators to certify aircraft — no small consideration when trying to certify an entirely new technology — while Embraer will benefit from Eve's intellectual property and technology.

"We are providing Eve with the best of both worlds: The focus and agility of a technology disruptor, with