Lilium Secures Lifeline with Asset Purchase Agreement to Avoid Bankruptcy

Eve brings relief to the company. Lilium announced on December 24th that they have signed an asset purchase agreement with Mobile Uplift Corporation GmbH, a company founded by an experienced consortium of investors from Europe and North America. This agreement is expected to provide the necessary financing for Lilium GmbH and Lilium eAircraft GmbH subsidiaries to resume their commercial operations. The sale proceeds will be utilized in accordance with German Insolvency Law.

According to reports by Aeroin, KPMG has been in talks with potential investors interested in the assets and businesses of the Subsidiaries and the creditor committee of Lilium GmbH has considered these interests as part of the financial restructuring process led by KPMG.

The parties plan to implement the restructuring of the Subsidiaries after the closure of the agreement, allowing them to exit the self-administration processes. As of December 20, 2024, the Subsidiaries have terminated the contracts of their remaining employees in compliance with German law.

The confirmation of the agreement is anticipated in early January 2025, subject to the completion of certain customary conditions precedent. Klaus Roewe, CEO of Lilium, expressed his satisfaction with the investment agreement, stating that it represents a significant step forward and will enable the company to restart its operations.

Notably, the aircraft developed by Lilium, known as the Lilium Jet, has been chosen by the Brazilian company Azul Linhas Aéreas for its air mobility plans in Brazil. This recent development signals a positive turn of events for Lilium and its future prospects.