Stellantis N.V. (NYSE:STLA) shares are trading lower today. The company disclosed an investment of an additional $55 million in Archer Aviation Inc. (NYSE:ACHR).
This investment, part of their strategic funding agreement, comes after Archer reached its transition flight test milestone last month.
This latest investment follows Stellantis' earlier open market purchase of 8.3 million shares worth $39 million of Archer's stock in March, as previously announced.
Also Read: Stellantis Recalls Over 1M Vehicles In US Over Rearview Camera Image Display Issues
Stellantis has been a strategic partner to Archer since 2020 and an investor since 2021.
Notably, throughout 2023, Stellantis invested a total of $110 million in Archer, combining open-market stock purchases and investments made under their strategic funding agreement.
The initial phase features a ~350,000 square foot building on a ~100 acre site, with the capacity to produce up to 650 aircraft annually.
Archer CEO Adam Goldstein said, "The commitment by Stellantis to Archer has been unrivaled, from its foresight to provide the manufacturing expertise and capital needed to accelerate Archer's business objectives, to the strategic vision and steadfast support from Stellantis CEO Carlos Tavares."
Investors can gain exposure to the stock via First Trust BuyWrite Income ETF (NASDAQ:FTHI) and SPDR S&P Kensho New Economies Composite ETF (NYSE:KOMP).
Price Action: STLA shares are down 1.86% at $19.57 and ACHR is up 9.21% at $3.735 at the last check Tuesday.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo: Courtesy of Archer Aviation, Inc.
- Stellantis Threatens To Exit UK Over 'Unsustainable' EV Sales Targets: 'If This Market Becomes Hostile For Us...'