Flying Car Startup Vertaxi Secures $28.3 Million in New Funding

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Vertaxi is developing a 2-ton eVTOL model, the Matrix 1 (M1), which successfully completed its maiden flight in October 2023

Vertaxi, the Chinese flying car startup, said it has raised more than 200 million yuan ($28.3 million) in a new funding round as capital floods into the emerging sector.

Guangdong-based Vertaxi, which manufactures electric vertical take-off and landing aircraft (eVTOL), secured the Pre-B round from a group of investors led by Zhongshan Investment Holdings, a venture capital fund backed by the Zhongshan city government in Guangdong province.

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Vertaxi raised over 200 million yuan ($28.3 million) in a new funding round led by Zhongshan Investment Holdings to advance eVTOL development and certification.
Vertaxi's 2-ton eVTOL model, Matrix 1, completed its maiden flight in October 2023, with cargo certification expected by 2025 and passenger certification by 2027.
The low-altitude economy is promoted by the Chinese government, with plans to trial eVTOLs by 2025, and the market expected to reach $1.5 trillion by 2040.

AI generated, for reference only

Who’s Who

Vertaxi: Vertaxi, founded in 2021 and based in Guangdong, is a Chinese startup manufacturing electric vertical take-off and landing aircraft (eVTOL). The company recently raised over 200 million yuan in a Pre-B funding round led by Zhongshan Investment Holdings. Vertaxi is developing a 2-ton eVTOL model named Matrix 1 (M1) and expects airworthiness certification for the cargo version by 2025 and for the passenger version by 2027.

Zhongshan Investment Holdings: Zhongshan Investment Holdings is a venture capital fund backed by the Zhongshan city government in Guangdong province. It led the Pre-B funding round for Vertaxi, a Chinese flying car startup, with an investment exceeding 200 million yuan ($28.3 million). The fund plays a significant role in promoting the eVTOL sector by supporting emerging technologies and startups.

V Fund Investment Ltd.: V Fund Investment Ltd. is one of the investors that participated in funding Vertaxi, a Chinese flying car startup. Before Vertaxi's recent funding round, V Fund Investment Ltd. contributed to the 150 million yuan raised by the company.

Winreal Investment: Winreal Investment is one of the investors in Vertaxi, a Chinese flying car startup. Before the recent funding round where Vertaxi raised over 200 million yuan, Winreal Investment had already contributed to a total of 150 million yuan in investment for the company.

Skyview Fund: Skyview Fund is one of the investors in the Chinese flying car startup Vertaxi, which manufactures eVTOL aircraft. Before the recent funding round, Skyview Fund, along with other investors, had contributed to a total of 150 million yuan raised by Vertaxi.

Fcourier Aviation Technology Co. Ltd.: Fcourier Aviation Technology Co. Ltd., owned by Vertaxi, is a drone developer specializing in aviation emergency rescue. In June 2024, it secured a 76.5 million-yuan contract to build medium-sized, fixed-wing drone rescue platforms in 15 cities across Guangdong Province. Fcourier also broke ground on a 40-acre, 150 million-yuan research and production base in Tanzhou Town, Zhongshan, marking the city’s first eVTOL project.

EHang Holdings Ltd.: EHang Holdings Ltd. is one of the leading air taxi manufacturers in China and a favored company among investors. The company is part of the emerging eVTOL sector, which is being promoted by China’s "low-altitude economy" initiative. Local governments are actively supporting such manufacturers through investments and policies.

XPeng Aeroht: XPeng Aeroht is mentioned as one of the leading players in the air taxi manufacturing sector. It is part of China's initiative to promote the "low-altitude economy," focusing on technologies such as unmanned drones and eVTOL aircraft. XPeng Inc., the company behind XPeng Aeroht, is also a major player showing interest in the global competition to develop flying cars, alongside companies like Hyundai, General Motors, and Toyota.

Boeing Co.: Boeing Co., an aviation veteran, is showing interest in the development of flying cars. The global competition in this emerging sector includes not only traditional aviation companies like Boeing but also car manufacturers such as Hyundai, General Motors, and Toyota, with market predictions by Morgan Stanley suggesting it could reach $1.5 trillion by 2040.

Airbus SE: The article mentions Airbus SE is among the global aviation veterans showing interest in developing flying cars. Alongside companies like Boeing, Hyundai, and General Motors, Airbus is part of the competition in the emerging eVTOL and flying car market, which is predicted by Morgan Stanley to potentially reach $1.5 trillion by 2040.

Bell: Bell, an aviation veteran, is among the global competitors in the emerging flying car market. Along with companies like Boeing, Airbus, Hyundai, and Toyota, Bell is showing interest in the development of electric vertical take-off and landing aircraft (eVTOL). Morgan Stanley predicts the market could reach $1.5 trillion by 2040.

Hyundai Motor Co.: Hyundai Motor Co. is listed as one of the car companies showing interest in the global competition to develop flying cars. The emerging sector, which includes technologies such as eVTOL aircraft, is drawing attention from major aviation and automotive players, and is projected to reach a market value of $1.5 trillion by 2040, according to Morgan Stanley.

General Motors Co.: General Motors Co. is among the car companies globally showing interest in the development of flying cars. This aligns with the increasing competition in the eVTOL sector, which is seen as a key part of the emerging "low-altitude economy" that includes the use of unmanned drones and electric vertical take-off and landing aircraft.

Toyota Motor Corp.: Toyota Motor Corp. is mentioned as one of the global players showing interest in developing flying cars, competing in the emerging eVTOL market alongside aviation companies like Boeing, Airbus, and Bell, as well as other car manufacturers such as Hyundai Motor Co., General Motors Co., and China’s XPeng Inc.

XPeng Inc.: XPeng Inc. is a Chinese company showing interest in developing flying cars. It is part of the global competition in the eVTOL aircraft sector, alongside aviation giants like Boeing and Airbus, and car manufacturers such as Hyundai, General Motors, and Toyota. XPeng aims to capitalize on China's promotion of the "low-altitude economy," which includes unmanned drones and eVTOL aircraft in various industries like transportation and logistics.

Morgan Stanley: Morgan Stanley is mentioned in the article as having predicted that the market for flying cars could reach $1.5 trillion by 2040.

AI generated, for reference only

What Happened When

2021：: Vertaxi was established and won early backing from internet entrepreneur Danny Chen.

October 2023：: Vertaxi successfully completed the maiden flight of its 2-ton eVTOL model, the Matrix 1 (M1).

January 2024：: The Civil Aviation Administration of China (CAAC) accepted Vertaxi’s airworthiness certification application.

March 2024：: In the government’s working report at the 'Two Sessions,' the low-altitude economy was highlighted as an emerging strategic industry.

June 2024：: Discussions to revise the special certification conditions for Vertaxi's airworthiness certification began.

June 2024：: FCourier Aviation Technology Co. Ltd. won a 76.5 million-yuan contract to build medium-sized, fixed-wing drone rescue platforms in 15 cities across Guangdong Province.