Published: Wed, November 15, 2017
Business | By Max Garcia

Volvo's parent company has just bought a flying-car maker

Volvo's parent company has just bought a flying-car maker

Geely has received all the necessary developments due to the purchase of the startup, therefore, at present priority is the development and the development of the project of a flying vehicle.

Terrafugia had aimed to bring a flying vehicle to market in 2019, which is a fantastically long gestation period for a company founded in 2006.

The Hangzhou-based Geely, which already owns Volvo and Lotus, is the latest firm to join a growing number of companies investing in making flying cars a reality.

Terrafugia has several working prototypes and Geely Holding said it insisted the company's innovation, engineering and production were worth joining onto.

Terrafugia Inc., founded by five Massachusetts Institute of Technology graduates, also plans to deliver the first vertical take-off and landing auto by 2023.

Terrafugia, despite being founded by a quintet of MIT graduates, is hardly immune to such skepticism.

"The support that Geely has pledged to make Terrafugia's vision a commercial reality is unprecedented", said Terrafugia's newly appointed CEO Chris Jaran, who was most recently managing director of Bell Helicopter.

Volvo's parent company has just bought a flying-car maker
Volvo's parent company has just bought a flying-car maker

The price tag of the acquisition has not been disclosed, but Geely will acquire all outstanding shares and appoint three board members including Nathan Yu Ning, its vice president of global business.

Three other appointees from the Geely include Geely vice chairman Yang Jian and Geely strategic investment and new business vice president Frank Li Yifan, Geely Deputy chief financial officer and auditing director Ian Zhang.

To help bring the "flying" side of flying vehicle to fruition, it has also brought on board Bell Helicopter China's former managing director, while Terrafugia's founder Carl Dietrich will become its Chief Technology Officer.

"This is a tremendously exciting sector and we believe that Terrafugia is ideally positioned to change mobility as we now understand it and herald the development of a new industry in doing so".

Following the deal, which Geely says has been approved by all relevant regulators, Terrafugia will stay headquartered in the US.

The Chinese automotive giant, which also owns Volvo, said Terrafugia would benefit from its significant expertise and track record of innovation across the globe.

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