Shares of Beta Technologies jumped more than 8% after air taxi maker Eve Air Mobility announced a deal worth up to $1 billion to buy engines from the Vermont-based company.
Eve, launched by the Brazilian aircraft manufacturer Embraer and is now under Eve holdingsaid the manufacturing deal could reach up to $1 billion over 10 years. The Florida-based company said it has an order backlog of 2,800 vehicles.
Shares of Eve Holding gained 12%.
Eve CEO Johann Bordais called the deal a “crucial milestone” in the advancement of the company’s electric vertical takeoff and landing, or eVTOL, technology.
“Their electric motor technology will play a critical role in propelling our aircraft during cruise, supporting the maturity of our propulsion architecture as we progress toward entry into service,” he said in a statement.
