AAMG only wants to pay €20 million for Lilium

The AAMG took an unusual step last Friday when it issued a press release announcing its intention to acquire the insolvent Bavarian startup Lilium, which had once set out on a mission to revolutionise aviation with an electric vertical take-off and landing (eVTOL) aircraft. However, there was no statement from Lilium or the insolvency administrator, as is usually the case in such situations.

Making such a declaration of intent public is an unusual move. Normally, this kind of thing happens behind the scenes, and the public is only notified once there is at least a joint memorandum of understanding or a preliminary agreement. Accordingly, there was a statement on Friday from AAMG boss Robert Kamp saying that the Lilium platform was “the result of years of effort by some of the most talented engineers in the world.” But it remained unclear whether the other side even wanted the takeover.

No purchase agreement yet

Now, the German business publication Wirtschaftswoche reported that a purchase agreement has not yet been concluded, according to information obtained by the magazine from sources close to the company. No money has been transferred, and the insolvency administrators have yet to give their approval, it says.

Wirtschaftswoche revealed the actual purchase price that AAMG is willing to pay for Lilium. According to insiders, this is said to be around 20 million euros. At first glance, this seems extremely low for a startup that was once valued in the billions. On the other hand, Lilium still does not have a finished product on the market, the employees are gone, and the buyer “will find chaos above all else,” according to the magazine. This is because the leases on some buildings have already expired, and the ownership of numerous machines has not been clarified. Many pieces of equipment were borrowed or came to Lilium as part of a barter deal, and the agreements for this can no longer be found, according to insiders speaking to Wirtschaftswoche.

Buyer would have to start almost from scratch

A buyer of Lilium would have to start almost from scratch. Although they could take over Lilium’s patents, AAMG’s planned acquisition of machinery and testing facilities would not be guaranteed. Additionally, whether enough former Lilium engineers would return to resume operations is also unknown. One thing is clear: AAMG would have to invest heavily to get operations up and running again, and its letter of intent already assumes a startup cost of 250 million euros. AAMG also claims to have a further 500 million euros at its disposal.

Meanwhile, further information has emerged about who is behind AAMG: Gründerszene/Business Insider reports that it is a joint venture between LuxAviation (a private aircraft operator from Luxembourg), Sigma Air Mobility (a subsidiary of Luxavation, focused on electric and sustainable mobility solutions of the future) and the Ambitious Group, an international recruitment consultancy headquartered in Amsterdam. AAMG also says it has joined forces with the Japanese company AirMobility to tap into markets in the Asia-Pacific region. As reported, AAMG is registered at a villa in the Dutch village of Boxtel. The contact details on the website also mention Dubai in the United Arab Emirates and Marbella in Spain as locations.

wiwo.de (in German)