Volocopter files for insolvency, remains bullish on 2025 type certification
December 30, 2024
German air taxi manufacturer Volocopter has filed for insolvency, announcing it will require additional financing within next eight weeks to rescue its dream of eVTOL innovation.
With 2025 widely acknowledged to be ‘make or break’ time for many an aspirational AAM intention, Volocopter’s insolvency announcement – with the company having filed an application at Karlsruhe Local Court on 26 December – makes it the second eVTOL company to do so in three months. (In October 2024, rival German eVTOL Lilium also filed for bankruptcy protection (although has since announced a so-called rescue deal with a new consortium of investors).
Volocopter made its announcement on 30 December, with Anchor Rechtsanwältegesellschaft partner Tobias Wahl now appointed as administrator. Whilst acknowledging that Volocopter has thus far “successfully operated in an extremely difficult financial environment,” CEO Dirk Hoke explained that “despite recent intensive fundraising efforts, finding a viable solution to maintain regular operations outside of insolvency proceedings has not been possible”.
Business operations are intended to continue as normal during the provisional insolvency proceedings, with an initial staff meeting held. Wahl has also initiated an investor process, confirming that despite having enjoyed “one of the lowest [cash] burn rates in the industry,” the company nevertheless “needs financing to take the final steps towards market entry”.
As Hoke explained, Volocopter is certainly at the forefront of its industry peers in its technological, flight test and certification process – something he believes “makes [Volocopter] an attractive company to invest in while [it organises itself] with internal restructuring”.
Arguably further along the path towards certification and entry into service than most eVTOL startups, Volocopter became the first European developer for gain design organisation approval for its two-seat, piloted VoloCity craft. Flight testing of the craft (including international excursions) has certainly been ramping up this year in pursuit of EASA SC-VTOL certification. However, although Volocopter’s original intention to offer passenger flights during the Paris Olympics fell flat, it did nonetheless make a milestone demonstration ascent from the Palace of Versailles.
The insolvency filing also follows a period of change in Volocopter’s leadership. In September, the board approved Hoke’s request to step down from his role as CEO at the end of February 2025. In mid-November, Volocopter also appointed Oliver Vogelgesand – who had previously held the CFO position at now-bankrupt Lilium – as chief financial officer, who stated at the time that he has “delighted to join Volocopter, especially at this stage of proximity in achieving aircraft type certification, to strengthen its financial composition and future-proof its company’s ambitious growth”.
