A German startup aiming to bring all-electric aircraft to regional routes has secured the funding it needs to build its first certifiable prototype, as rising fuel prices and Europe's climate goals revive interest in electric aviation.
VÆRIDION, based in Oberpfaffenhofen near Munich, raised €30 million in a Series A2 funding round, according to AIN Online, which reported the deal on Thursday, November 5. The round was led by SHIFT Invest and Invest-NL, the Dutch national investment institution, with contributions from World Fund, Project A, Vsquared Ventures and Alexander Rittweger.
Together with a proposed €94.5 million grant from the European Commission, the round brings the company's fresh funding to about €124 million, according to AIN Online. The grant, which would come from the Commission's innovation fund, is intended to develop the final assembly line at Oberpfaffenhofen. Tech Startups noted that the grant is proposed and separate from the equity round.
VÆRIDION has raised €60 million from private investors to date.
"This equity round enables us to build our first conforming aircraft," said founder and chief executive Ivor van Dartel, according to AIN Online. He also highlighted what he described as the company's "exceptional capital efficiency."
The Microliner
VÆRIDION is developing the Microliner, an all-electric aircraft that can carry nine passengers up to 400 kilometres, according to AIN Online. It also offers 10 cubic metres of cabin space for freight, making it suitable for cargo, logistics and medical missions as well as passenger flights.
The aircraft is designed for short regional routes, connecting smaller communities that are poorly served by existing air services, or replacing long road or rail journeys. AIN Online estimated the implied unit price at about €5.6 million.
Timeline to certification
VÆRIDION has already established its certification basis with the European Union Aviation Safety Agency (EASA), and is applying for EASA design organisation approval, according to AIN Online. It plans to begin manufacturing its first conforming prototype, built to the standards required for certification, in early 2027, with flight testing potentially starting in 2027. The company is targeting EASA type certification in 2030.
Orders and partners
The company has provisional sales agreements for 130 Microliners, with a combined prospective value of €730 million, according to AIN Online. The launch customer is ASL, a Belgian private aviation group.
VÆRIDION is working with a range of established aerospace and technology suppliers. Partners include GKN Aerospace, Evolito for electric propulsion, Molicel for batteries, MT-Propeller and Drive System Design.
The fuel price tailwind
VÆRIDION said fuel price spikes linked to the conflict involving Iran have increased interest in electric aircraft, according to AIN Online. Higher jet fuel prices have raised costs for airlines and made the economics of electric aircraft, which use cheaper electricity, more attractive. The company also noted that Europe imports around 57% of its energy, making energy security a strong argument for electrification.
Can electric planes fly?
Electric aviation faces significant technical challenges. Batteries store far less energy per kilogram than jet fuel, which limits the range and payload of electric aircraft. That is why most electric aircraft projects focus on small planes and short routes, where battery technology is already sufficient.
The sector has also seen setbacks. Several electric aviation startups have struggled to raise funds or have collapsed, as development and certification have proved more expensive and slower than expected. VÆRIDION's emphasis on capital efficiency and established suppliers reflects lessons from these failures.
