eVTOL aircraft developer Joby is to acquire Blade Air Mobility’s passenger business for up to US$125 million, accelerating the company’s path to commercial air taxi operations.
The acquisition includes all of Blade’s passenger business, including operations in the USA and Europe, as well as the Blade brand.
Blade founder and CEO Rob Wiesenthal will continue to lead the business as a wholly-owned subsidiary of Joby. Blade’s medical division will remain a separate public company to be renamed Strata Critical Medical, but will partner with Joby on medical transportation.
The deal provides Joby with immediate access to Blade’s network of 12 urban terminals in key markets, including dedicated lounges at John F Kennedy International Airport and Newark Liberty Airport, as well as locations across Manhattan. Blade flew more than 50,000 passengers in 2024 from terminals situated in some of the most important urban air mobility markets in the world.
“This is a strategically important acquisition that will support the successful launch of Joby’s commercial operations in Dubai, our subsequent global rollout and our continued leadership in the sector,” said JoeBen Bevirt, founder and CEO of Joby Aviation.
Joby plans to begin carrying its first passengers in Dubai next year.
The company is working to achieve FAA certification of its eVTOL aircraft with Type Inspection flight testing now expected to begin early next year.
Joby said that the acquisition allows the firm to use Blade’s operational expertise while gradually transitioning passengers from conventional helicopters to electric aircraft.
Blade, founded in 2014, doesn’t own a fleet of aircraft, but has developed a digital network that allows passengers to book private rides on helicopters across several short-hop routes. The service has grown in popularity as customers seek ways to avoid traffic on their commutes from the suburbs into Manhattan, or to The Hamptons for weekends and holidays.
Under the agreement terms, Joby will pay Blade stock or cash, at Joby’s election, up to US$125 million, subject to customary indemnity provisions and inclusive of US$35 million of holdbacks which will be released subject to the achievement of certain performance milestones and retention of certain key employees.
“Blade was founded with the mission of democratising short-distance air travel by facilitating the transition from conventional rotorcraft to quiet, emissions-free electric aircraft, and I believe there is no better partner than Joby to make that mission a reality,” said Wiesenthal.
The transaction is expected to close in the coming weeks, subject to satisfaction or waiver of customary closing conditions. As part of the deal, Joby will also become the preferred VTOL partner to Blade’s organ transport business wherever Joby has operations, strengthening its position in high-value, mission-critical air medical services.
