Archer Aviation up 4% after Stellantis raises stake with 12.3M share purchase

Shares of Archer Aviation (ACHR) are up 22c, or 4%, to $5.24 in morning trading after it was disclosed in a regulatory filing last night that Stellantis (STLA) now holds a 15.1% stake in the company. On October 16, the company issued and sold 12,313,234 shares of Class A Common Stock to Stellantis for an aggregate purchase price of $69,999,996.50, or $5.68494 per share. “This transaction was consummated pursuant to the Forward Purchase Agreement and represents the Forward Purchase Closing relating to Milestone 2… Pursuant to the Forward Purchase Agreement, so long as Stellantis or its affiliates beneficially own Class A Common Stock equal to at least 12.5% of the Issuer’s outstanding Class A Common Stock, it will have the right to nominate one individual for election to the Board as a Class II director at the Issuer’s annual meeting of stockholders to occur in 2026 through the date of the Issuer’s annual meeting of stockholders in 2029. Thus, so long as Stellantis’ designated director remains on the Issuer’s board, such director will participate in any board decisions regarding the receipt of dividends from, or the proceeds from the sale of, the Issuer’s Common Stock,” the filing added.