Vertical Aerospace (NYSE: EVTL) announced it has secured a comprehensive financing package worth up to $850 million to fund its electric aircraft certification efforts through 2027 and beyond.

The company raised $50 million in common equity and expects to receive an additional $30 million in coming weeks. Combined with existing cash and anticipated tax relief, Vertical will have approximately $160 million in working capital available to execute certification milestones through 2026.

The financing package includes four components structured with Mudrick Capital Management and Yorkville Advisors Global. Mudrick Capital agreed to extend the maturity of existing convertible notes from December 2028 to December 2030 and provide up to $50 million in new convertible secured notes over 12 months.

Yorkville committed to purchase up to $250 million in Series A Convertible Preferred Shares over 24 months, carrying a 0% dividend. The firm also agreed to provide an equity line of credit worth up to $500 million over 36 months, allowing Vertical to raise common equity at progressively higher prices as it achieves milestones.

The parties committed to execute definitive documents by April 19, 2026. The agreement remains nonbinding and subject to completion of due diligence and other conditions.

"Today marks a new dawn for Vertical Aerospace," said Chief Executive Officer Stuart Simpson. "We have assembled a comprehensive, flexible financing package designed to execute our strategic plan, and materially strengthened our ability to build and certify Valo."

Vertical is developing the Valo, an electric vertical takeoff and landing aircraft designed to fly up to 100 miles at speeds of up to 150 mph with zero operating emissions. The company has approximately 1,500 pre-orders from customers including American Airlines, Avolon, and Japan Airlines.

The financing aims to support completion of piloted transition flight, public flight demonstrations, and construction of the aircraft manufacturing facility. Vertical plans to begin production of its first full-scale certification aircraft and targets certification in 2028.