Vertical Aerospace Signs Strategic MoU to Advance AAM in Saudi Arabia
Vertical Aerospace announced the signing of a strategic three-party memorandum of understanding with Abdel Hadi Abdullah Al-Qahtani & Sons Group of Companies, or AHQ Group, a Saudi industrial conglomerate, and the Saudi National Industrial Development Centre, or NIDC, part of the Ministry of Industry and Mineral Resources. The MoU, signed in Riyadh, establishes a framework to explore the development of a long-term advanced air mobility, or AAM, ecosystem in the Kingdom of Saudi Arabia. Under the MoU, the parties will evaluate a broad set of opportunities spanning manufacturing localization, commercial eVTOL operations and potential investment and incentive opportunities. AHQ Group will support the evaluation of industrial, commercial and investment structures required to establish a scalable and sustainable AAM ecosystem in the Kingdom. Together, Vertical, AHQ Group and NIDC will explore how Saudi Arabia can become a regional hub for electric aircraft manufacturing, battery systems and AAM services.
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- Electric Aircraft Showcase: Vertical Aerospace is set to display its full-scale Valo electric aircraft at the Bass Museum in Miami Beach on February 24-25, aiming to attract interest from operators and investors ahead of its commercial launch.
- Flight Performance Advantages: The Valo aircraft is designed to cruise at speeds of up to 150 mph, featuring a premium cabin, panoramic windows, and space for luggage and pets, making it suitable for urban and inter-city travel with a maximum range of 100 miles, enhancing travel comfort and convenience.
- Testing Area Planning: Vertical Aerospace plans to test Valo's advanced air mobility in Miami, proposing routes that could compress some of the region's worst car journeys into sub-40-minute flights, such as the approximately 65-mile journey from Miami International to Palm Beach International taking about 36 minutes.
- Market Pre-Order Status: The company has secured around 1,500 pre-orders across four continents from customers including American Airlines, Avolon, and Japan Airlines, indicating strong market demand for electric aviation and further propelling the company's progress toward certification and commercialization.
- Public Aircraft Display: Vertical Aerospace will showcase its electric vertical take-off and landing aircraft, Valo, at the Bass Museum in Miami from February 24-25, 2026, aiming to highlight the future potential of urban and inter-city travel and attract public interest.
- Range and Speed: Valo is designed to fly up to 100 miles at speeds of 150 mph, featuring a premium cabin for four passengers, which aims to enhance travel efficiency in South Florida by reducing traffic congestion.
- Strategic Partnerships: Vertical is collaborating with infrastructure partners to explore a network for its electric and hybrid-electric aircraft across South Florida, planning to connect major cities like Miami, Fort Lauderdale, and Palm Beach, significantly reducing travel times.
- Market Potential: As a global aviation hub, Miami presents substantial opportunities for Vertical's electric aviation operations, expected to generate new economic growth and advance the development of advanced air mobility in the region.
- Strategic Partnership: Vertical Aerospace has signed a strategic memorandum of understanding with AHQ Group and the Saudi National Industrial Development Centre to explore the establishment of an Advanced Air Mobility ecosystem in Saudi Arabia, aligning with the country's Vision 2030 economic diversification goals.
- Market Potential: This collaboration could position Saudi Arabia as a regional hub for electric aircraft manufacturing, potentially supporting the operation of over 1,000 Valo aircraft, thereby contributing to job creation and the establishment of a clean transport sector.
- Technical Advantages: The Valo aircraft is designed to operate in hot environments, capable of flying up to 160 kilometers at speeds of 240 km/h with zero emissions, enhancing Vertical Aerospace's competitiveness in the aerospace sector while meeting sustainability requirements.
- Stock Performance: Although Vertical Aerospace's stock rose 0.41% to $4.84 in premarket trading, it remains below both the 20-day and 50-day simple moving averages, indicating a bearish trend in the short term, necessitating close attention to upcoming earnings reports and analyst rating changes.
- Strategic Partnership: Vertical Aerospace has signed a memorandum of understanding with Saudi AHQ Group and the National Industrial Development Centre to accelerate the development of an Advanced Air Mobility ecosystem in Saudi Arabia, closely aligning the company with the Kingdom's Vision 2030 industrial agenda.
- Unique Market Positioning: This agreement positions Vertical Aerospace as the only eVTOL manufacturer collaborating with a Saudi governmental body, underscoring Riyadh's commitment to building world-class aerospace capabilities and further solidifying the company's market presence.
- Product Development Focus: The collaboration centers on Vertical's four-passenger eVTOL, Valo, designed to fly up to 160 km at 240 km/h with zero emissions, meeting UK CAA and EASA safety standards, showcasing its dual advantages in environmental sustainability and safety.
- Localization Manufacturing Assessment: The MoU establishes a framework to evaluate localization of manufacturing and commercial deployment of electric vertical take-off and landing services, with AHQ Group leveraging its capital and market experience to scale the domestic AAM industry.
- Strategic Collaboration Framework: Vertical Aerospace has signed a three-party strategic Memorandum of Understanding with the Saudi Ministry of Industry and the AHQ Group to explore the establishment of a long-term Advanced Air Mobility ecosystem, aligning with Saudi Arabia's Vision 2030 to promote economic diversification and industrial capability development.
- Market Potential Assessment: Under the MoU, the parties will evaluate a wide range of opportunities, including manufacturing localization and commercial eVTOL operations, with the Saudi market expected to support the operation of over 1,000 Valo electric aircraft, significantly enhancing Vertical's market share.
- Investment Opportunity Exploration: The AHQ Group will assist in assessing the industrial, commercial, and investment structures needed to establish a scalable and sustainable AAM ecosystem, positioning Saudi Arabia as a regional hub for electric aircraft manufacturing and AAM services, thereby fostering high-skilled job creation.
- Technological Adaptability: The Valo electric aircraft is designed for high-temperature environments, capable of flying up to 160 km at speeds of 240 km/h while meeting rigorous safety standards, expected to cater to the market demands of Saudi Arabia and the wider GCC region, promoting sustainable transportation development.
- Strategic Partnership: Vertical Aerospace has entered a long-term partnership with Evolito, which will supply electric propulsion units (EPUs) for Vertical's eVTOL aircraft, Valo, significantly enhancing its performance and safety, with certification aimed for 2028 to meet standards equivalent to large commercial airliners.
- Technological Innovation: Evolito's EPU architecture integrates lightweight electric motors and high-integrity DAL-A power electronics, providing extended range and high performance, addressing the evolving needs of the Advanced Air Mobility market, with flight testing for a hybrid-electric variant expected to begin in mid-2026.
- Industry Impact: This collaboration supports the UK government's ambition in aerospace innovation, backed by £2.3 billion in funding through the Aerospace Technology Institute (ATI) to accelerate the development of cleaner, more efficient aircraft, further solidifying the UK's leadership in zero-emission flight.
- Market Outlook: Vertical has secured approximately 1,500 pre-orders for Valo, with customers across four continents, including American Airlines and Japan Airlines, indicating strong market demand for electric aviation solutions, which is expected to drive future growth and market share expansion for the company.










