AAMG forges big plans for Lilium – including military applications

Just a few days ago, the until now little-known Ambitious Air Mobility Group (AAMG) from the Netherlands made headlines with its intention to acquire Bavarian air taxi developer Lilium, which has already filed for insolvency twice. Since then, AAMG has been generating one headline after another.

In an interview with the German Handelsblatt, AAMG CEO Robert Kamp and fellow executive Daniel Hayes revealed their plans to develop the seven-seater electric VTOL aircraft further towards autonomous operation. Hayes also pointed to two segments beyond passenger transport originally planned at Lilium: “We are talking about freight transport, but that also brings defence into play.” In other words: under AAMG’s leadership, Lilium would establish a military division – similar to what US rival Archer has already done. That may have little in common with the romanticised idea of air taxis but would make use of Lilium’s key VTOL technology.

However, AAMG’s purchase of Lilium is far from sealed. “We are still waiting for the insolvency administrator to sign the asset purchase agreement,” Kamp told Handelsblatt. Insolvency administrator Ivo-Meinert Willrodt (Pluta) countered that the conditions for signing have not yet been met.

Kamp follows up in the press release: “We entered into this process in good faith, agreed to the price demanded by the insolvency administrator and acted responsibly at every stage. Our vision is not a break-up, but a revival – to realise the full potential of the skilled workforce, infrastructure and first-class assets.”

According to the German magazine Wirtschaftswoche, the purchase price stands at around 20 million euros – a sum that would be distributed among Lilium’s creditors. More decisive for the startup’s future, however, is how much AAMG intends to invest: the Dutch investor has already announced an initial investment of 250 million euros and claims access to a further 500 million euros for possible follow-on funding.

For Lilium’s future, expansion into new business areas is key, the AAMG management stressed. “There should be a whole programme of aircraft. You need revenues when pursuing a project that takes time and depends heavily on regulation,” said Hayes.

Still, the road ahead remains long: trust with suppliers needs to be rebuilt after both insolvencies left unpaid bills and cancelled orders. Recruiting staff is also on the agenda. Yet AAMG thinks much smaller than Lilium’s previous management: instead of 1,100 employees, the new plan foresees a workforce of 300. Production of aircraft could even be outsourced to a partner in Japan, while research and development would remain in Germany. AAMG has already secured Lilium’s former premises at Oberpfaffenhofen special airport for this purpose.

handelsblatt.com (in German)

This article was first published by Florian Treiß for electrive’s German edition.