Hanwha Systems and Hanwha Aerospace Invest 150 Billion KRW in US Overair

[Asia Economy Reporter Kim Jin-ho] Hanwha Systems, together with Hanwha Aerospace, is jointly investing with the goal of unmanned prototype UAM flight in the third quarter of next year.

Hanwha Systems and Hanwha Aerospace announced on the 14th that they will participate in a Series B investment worth a total of $115 million (approximately 147.9 billion KRW) conducted by Overair, a leading UAM technology company based in Santa Ana, California, USA. The two companies disclosed today that they acquired convertible notes (open convertible bonds) issued by Overair.

Hanwha Systems has been involved as a strategic investor since 2019, investing $25 million in Overair's Series A and collaborating as a co-developer of the air taxi aircraft "Butterfly." In August last year, it also made an advance investment of $30 million ahead of Series B.

Hanwha Systems will invest $50 million (approximately 64.3 billion KRW) in this Series B round, and Hanwha Aerospace will newly participate with an investment of $65 million (approximately 83.6 billion KRW).

As the first domestic company to enter the UAM market, Hanwha Systems plans to leverage its advanced avionics and ICT technology and combine it with Overair's global electric vertical takeoff and landing aircraft (eVTOL) capabilities to lead the domestic and international UAM markets as a "global UAM solution provider" covering aircraft development, vertiports, and traffic management services.

Hanwha Aerospace, based on over 40 years of expertise as a space and aerospace engine specialist, is focusing its capabilities to leap forward as a future mobility technology leader.

Hanwha Aerospace is developing a "battery-based electric propulsion system," which serves as the engine for UAM aircraft, in collaboration with Overair. Additionally, to accommodate diversified UAM aircraft such as long-distance and multi-passenger models, they plan to cooperate in developing and supplying a "future hybrid electric propulsion system" that combines gas turbines or hydrogen fuel cell systems with electric batteries.

Hanwha Systems, together with Overair, is preparing to produce a full-scale unmanned prototype in the first half of 2023. After completing navigation-related technology verification through autonomous flight tests of the unmanned prototype, they plan to participate in the Ministry of Land, Infrastructure and Transport-led "Korean Urban Air Mobility Grand Challenge (K-UAM GC)" and proceed with demonstration flights for certification by the U.S. Federal Aviation Administration (FAA) between 2024 and 2025.

This content was produced with the assistance of AI translation services.