TCab Tech Receives USD$141 Million Bank Credit

TCab Tech, the Chinese electric aircraft manufacturer, has signed a strategic cooperation agreement with the Bank of China that will see the company receive 1 billion yuan (USD$141 million) in bank credit for the development, certification, and commercialization of its E20 eVTOL. 

The collaboration between the two parties is a significant milestone as going forward, they plan to engage in extensive cooperation on various fronts, including financing the supply chain. The agreement with the Bank of China is expected to provide TCab with the resources needed to develop its eVTOL further and promote the company’s growth on a larger scale.

Chinese eVTOL companies have several funding sources, including bank credit, government-funded organizations, and individuals. Bank credit is one of the major funding sources for Chinese eVTOL companies, and it involves borrowing money from a bank to finance operations and growth. Companies including EHang and XPENG AEROHT have all secured credit facilities from banks.

Huang Yongwei, the founder and CEO of TCab, expressed his gratitude for the funding his company received and acknowledged that it will provide a major boost in bringing the E20 to market. 

“The achievement of this strategic cooperation between the bank and our company provides us with sufficient financial security, which will help accelerate the research and development of E20 eVTOL and promote the commercialization of air taxis,” Huang said. 

TCab, based in Shanghai, plans to take advantage of the financial support it has received to further develop its innovative flight capabilities. The company has made significant strides in developing its domestically-produced eVTOL, which it intends to operate on a global scale.

At the beginning of May 2023, TCab signed a strategic cooperation agreement with the Civil Aviation Flight University of China (CAFUC) regarding the implementation of eVTOLs.

The E20 is a five-seater eVTOL that can travel up to 200 km at a cruise speed of 260 kph. TCab aims to get its electric aircraft certificated by the Civil Aviation Administration of China (CAAC) by 2025 and then obtain certification from the European Union Aviation Safety Agency (EASA).

Do you want to be one of the first to read stories like this? Our newsletter features all of the top stories of the week condensed into one easy-to-read email. It’s fast and free to sign up, so click here to sign up now.