Britten-Norman and Cranfield Aerospace Solutions (CAeS) have signed a Heads of Terms agreement, signalling their intention to merge and to create the world’s first fully integrated, zero-emissions sub-regional aircraft for entry into service in 2026.
The merger is due to be completed by mid-2023, subject to due diligence. A consortium of CAeS investors will invest up to £10 million in the new company, including up to £5 million investment from HydrogenOne once the merger is finalised.
The new entity is responding to the growing demand from airlines and operators for an OEM-backed aircraft that will enable their move to zero-emissions operations.
Commenting on the merger, Paul Hutton, Cranfield Aerospace Chief Executive, said: “This deal accelerates our roadmap for the introduction of new zero-emissions aircraft. As other sectors decarbonise quickly, it is imperative that the aviation industry accelerates its own transition to new, clean aircraft. Looking to the future, we will use the combined experience of Cranfield Aerospace and Britten-Norman to produce an entirely new aircraft design, optimised around hydrogen fuel cell technology.”
The two companies have been collaborating on Project Fresson for over two years, a project set up to develop the technologies required to enable the hydrogen propulsion system for the Islander, Britten-Norman’s nine-seater regional aircraft.
The combined entity of CAeS and Britten Norman will incorporate seven sites in London, Cranfield, Gosport, Isle of Wight, Southampton, Miami and Malta and will employ around 220 people.
