FARNBOROUGH – ZeroAvia, a pioneer in hydrogen-electric, zero-emission aviation, announced US$30m in funding from new investors Barclays Sustainable Impact Capital, NEOM, and AENU. International Airlines Group (IAG) also contributed to the Group’s prior investment, bringing the Series B round’s total funding to US$68m.
IAG, United Airlines, and Alaska Airlines are three significant airline conglomerates that have invested strategically in ZeroAvia. The additional funding will help ZeroAvia’s development of a 2-5MW hydrogen-electric powertrain, which will be used to power 40-80 seat aircraft with zero-emission engines by 2026. In order to get a better energy density, a longer range, and a greater payload, larger aircraft will use liquid hydrogen fuel instead of gaseous hydrogen fuel for smaller aircraft.
To get its Hydrogen Airport Refueling Ecosystem (HARE) ready for routes carrying people and cargo in the coming few years, ZeroAvia will also use the cash to create infrastructure at airport sites.
The funding increases the chance of ZeroAvia snatching up a sizeable portion of the regional aviation engine market.
Comments from ZeroAvia, IAG, Barclays
Val Miftakhov, founder and CEO, ZeroAvia said, “Each of these star investors brings a unique perspective and strength to ZeroAvia’s wider team – from one of the world’s biggest airline groups, one of the largest and most historic banks, to the ambitious project to build the world’s first zero-carbon metropolis, as well as a pure-play impact investor. Our new investors are each looking at our journey through a different lens, but all energized by our mission to enable zero-emission flight using hydrogen-electric engines. This is a great recognition of ZeroAvia’s leadership in the space, fueled by real, tangible achievements.”
IAG was the first airline group worldwide to commit to achieving net-zero emissions by 2050 and began partnering with ZeroAvia in 2020 when its Hangar 51 accelerator program featured it as a participant.
Luis Gallego, IAG´s chief executive, said: “IAG has been leading aviation´s efforts towards achieving net-zero emissions by 2050. We are investing in a range of solutions, including hydrogen, which we believe has huge potential, especially for short-haul routes.”
This is the 14th overall investment made by Barclays through their Sustainable Impact Capital Programme, which has a mandate to invest up to £175m of equity capital in sustainability-focused start-ups by 2025.
Steven Poulter, Head of Principal Structuring and Investments at Barclays said, “The aviation industry will require significant and recurring investment in the years ahead to ensure its technological evolution can keep pace with global decarbonization targets. ZeroAvia is an innovative, industry-leading aviation business – we are delighted to support its ambition towards zero-emission flight, and look forward to seeing them accelerate change in the sector.”
Featured image: The fresh investment will further advance ZeroAvia’s hydrogen-electric powertrain development program, which aims to power 40-80 seat aircraft with zero-emission engines by 2026. Render: ZeroAvia