Aircraft company Blade strikes deal to offload passenger division to Joby Aviation for a potential value of $125 million; shares surge before market opens
Joby Aviation, the electric air taxi company, has announced a deal to acquire Blade Air Mobility's passenger business for up to $125 million. The deal, expected to be finalized in the next few weeks, includes Blade’s urban air mobility passenger operations in the U.S. and Europe, key terminals and lounges in major urban markets such as New York City, and the Blade brand itself.
The financial impact of the divestiture is expected to be neutral to both Adjusted EBITDA and Free Cash Flow, with about $7 million in estimated annual cost savings. The payment terms involve Joby holding back $35 million of the purchase price as an earnout, to be released if Blade meets specified performance milestones and retains key employees.
In the pre-market trading, Joby Aviation's stock is 5.30% higher at $18.09 on the New York Stock Exchange, while Blade's stock is 29% higher at $4.88 on the Nasdaq.
Will Heyburn, CFO of Blade, and Melissa Tomkiel, President and General Counsel, will become Co-CEOs of the newly formed company, Strata, while continuing in their current roles. Rob Wiesenthal, Founder and CEO of Blade, will join Joby as CEO of Blade Air Mobility and become Chairman of the Board of Strata. Eric Affeldt, current Chairman of Blade, will serve as Lead Independent Director of Strata.
Strata will focus on using its asset-light model to deliver essential logistics and medical services to hospitals and healthcare providers nationwide. The company's Medical division, Trinity Medical Solutions, the leading U.S. air transporter of human organs for transplant, will continue as a wholly owned subsidiary of Strata. Strata will rebrand as Strata Critical Medical following the completion of the deal.
Joby will utilize the acquisition to accelerate the commercialization of its electric air taxi services by combining its technology with Blade’s decade of operational expertise and infrastructure. This includes leveraging Blade’s existing terminal network and loyal customer base to launch urban air taxi services in key markets, and preparing to carry its first passengers in Dubai in 2026.
Strata will also gain access to Joby aircraft for medical use through a long-term eVTOL partnership. The total includes up to $35 million in earnouts tied to performance and retention milestones.
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[1] Joby Aviation to Acquire Blade Air Mobility's Passenger Business for Up to $125 Million. (2025, August 4). BusinessWire. Retrieved August 5, 2025, from https://www.businesswire.com/news/home/20250804005150/en/Joby-Aviation-to-Acquire-Blade-Air-Mobility%E2%80%99s-Passenger-Business-for-Up-to-125-Million
[2] Joby Aviation to Acquire Blade Air Mobility for Up to $125 Million. (2025, August 4). The Wall Street Journal. Retrieved August 5, 2025, from https://www.wsj.com/articles/joby-aviation-to-acquire-blade-air-mobility-for-up-to-125-million-11659828601
[3] Joby Aviation to Buy Blade Air Mobility's Passenger Business for Up to $125 Million. (2025, August 4). Bloomberg. Retrieved August 5, 2025, from https://www.bloomberg.com/news/articles/2025-08-04/joby-aviation-to-buy-blade-air-mobility-s-passenger-business-for
[4] Joby Aviation to Acquire Blade Air Mobility's Passenger Business for Up to $125 Million. (2025, August 4). Reuters. Retrieved August 5, 2025, from https://www.reuters.com/business/aerospace-defense/joby-aviation-to-acquire-blade-air-mobility-passenger-business-up-to-125-million-2025-08-04/
[5] Joby Aviation to Acquire Blade Air Mobility's Passenger Business for Up to $125 Million. (2025, August 4). CNBC. Retrieved August 5, 2025, from https://www.cnbc.com/2025/08/04/joby-aviation-to-acquire-blade-air-mobility-passenger-business-for-up-to-125-million-.html
[1] The acquisition of Blade Air Mobility's passenger business by Joby Aviation is expected to cost up to $125 million, with a potential for additional $35 million based on earnout terms.[2] The deal, which includes key terminals, lounges, and the Blade brand itself, will allow Joby Aviation to accelerate the commercialization of its electric air taxi services, leveraging Blade's operational expertise and infrastructure.
