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Archer Aviation Moves to Buy Hawthorne Airport, Announces $650 Million Share Sale

Investor pushback over dilution followed Archer’s plan to make Hawthorne the base for an L.A. air‑taxi network.

Overview

  • Archer signed definitive agreements to acquire Hawthorne Municipal Airport for $126 million in cash, with the deal subject to City of Hawthorne approval and other closing conditions.
  • The site is slated to become the operational hub for Archer’s Los Angeles air‑taxi network and a testbed for AI‑driven aviation systems ahead of the 2028 Olympics.
  • To support the strategy, Archer launched a registered direct offering of 81.25 million shares for $650 million, lifting total liquidity to more than $2 billion.
  • The stock fell roughly 12% to 16% after the announcements as investors weighed dilution from the new share issuance.
  • Archer reported a third‑quarter loss of $0.20 per share with adjusted EBITDA of -$116.1 million and guided a Q4 adjusted EBITDA loss of $110 million to $140 million; ARK Investment disclosed buying about 3.0 million shares on Nov. 6.