EHang Announces $23 Million Private Placement to Support Development of Urban Air Mobility

AAV Leader EHang Announces $23M Private Placement Led by South Korean Entrepreneur Lee Soo Man

by DRONELIFE Staff Writer Ian M. Crosby

Autonomous aerial vehicle (“AAV”) technology platform leader EHang Holdings has announced its entry into share subscription agreements for a total of US$23,000,000 private placement with several strategic investors led by South Korean record producer and SM Entertainment founder Lee Soo Man.

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EHang will receive a deposit of 80% of the aggregate purchase price for the proposed placement from the investors, with the transaction expected to close in the third quarter of 2023. In addition to the private placement, Mr. Lee Soo Man will collaborate with EHang to advance the development of Urban Air Mobility in Asian Pacific regions by utilizing the strengths of both parties.

EHang will put the gross proceeds from the placement towards working capital and general corporate purposes, allowing for the acceleration of strategic plans for technology advancement, business development and post-certification commercial operations. These advancements will enable EHang to cement its position as a leader in the global UAM industry.

“I was impressed by Mr. Lee’s interest and passion towards innovative technologies, future air mobility, and our autonomous aerial vehicles,” said EHang Founder, Chairman and CEO Huazhi Hu. “We are thrilled to have long-term strategic investors and partners, such as Mr. Lee, who share the same values and commitment in our journey. The placement and partnership are testaments to the trust and belief in EHang’s vision and prospects, propelling the Company into our next phase of growth.”

“I appreciate EHang’s unwavering dedication to enabling safe, autonomous and eco-friendly air mobility for the general public, as the first mover and a leading innovator in the emerging UAM industry with great potential,” said Lee Soo Man. “I’m excited to embrace opportunities and contribute to its growth through investing and collaborating with EHang as a long-term investor. I look forward to the convergence of cutting-edge transportation technologies and popular culture to create sustainable value, and I’m proud to be part of it.”

Read more:

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• Publicly Traded Advanced Air Mobility Companies: Lilium, Archer Join Joby, Ehang
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Ian attended Dominican University of California, where he received a BA in English in 2019. With a lifelong passion for writing and storytelling and a keen interest in technology, he is now contributing to DroneLife as a staff writer.