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Flynatic.com > ICON raises 60 million dollars for full-scale production
2013-06-20 ICON raises 60 million dollars for full-scale productionICON announced that it raised its fourth and final round of equity funding in May 2013. The round, which totals over 60 million dollars, included investors from North America, Europe, and Asia.
The company will use the funds to complete production preparations, demonstrate regulatory compliance, ramp up full-scale aircraft production, and perform R&D to expand its model line.
"We are thrilled to have the support of such a distinguished and passionate group of investors. For the first time in ICON's history, the company's future is no longer reliant on the whims of the capital markets, which have been highly unstable over the last five years. This D round includes an outstanding group of investors who are very committed to ICON's mission to democratize flying. The round was led by a top-notch privately held strategic investor from China. The entire round represents a minority, non-controlling interest in ICON which ensures ICON's original mission and strategy remains completely intact; the A5 will be U.S.-built, and the company will continue to be a U.S.-based, -led, and -managed organization." said Kirk Hawkins, CEO and Founder of ICON Aircraft.
ICON is backed by a syndicate of North American, European, and now Asian investors. The participation of ICON's Asian investor serves an important strategic goal of positioning ICON to capitalize on Asia's rapidly growing general aviation industry. This investor is a multibillion-dollar conglomerate and is well established in the Chinese general aviation industry, which makes the collaboration especially valuable to ICON.
In a letter to ICON A5 deposit holders, Hawkins acknowledged the production delays of the A5 and thanked owners for their continued patience and enthusiasm. He also pointed out that the extra development time permitted significant improvements to the ICON A5 amphibious Light Sport Aircraft, including the inclusion of a Spin-Resistant Airframe (SRA).
The company's order list has continued to grow during this period, with nearly 1,000 aircraft deposits.
"Creating a great aircraft and a great company from scratch is an extraordinarily difficult task. Furthermore, financing such an endeavor is an order of magnitude harder than just creating it and fundraising is particularly difficult for aviation startups. This has been a longer and more challenging journey than even we had anticipated; that said, ICON is now in a great place. For everyone who has kept the faith, remained a great wingman, and waited patiently for the A5, you're going to get the most amazing sport aircraft ever created." added Hawkins.