Cathie Wood Doubles Down: Archer Aviation (ACHR) Soars After $28M Bet & LA Airport Takeover

Cathie Wood's ARK just dropped a $28 million vote of confidence in Archer Aviation—right as the eVTOL upstart secures a strategic foothold at LA's airport. Here's why the market's buzzing.

The Big Bet

While legacy automakers fiddle with incremental EV updates, Archer's playing 4D chess. Snagging LA airport real estate positions them to dominate urban air mobility routes before regulators even finish drafting the rulebook.

The Cynic's Corner

Wall Street's suddenly all-in on 'flying cars'—the same crowd that laughed at Tesla in 2013. Funny how a few billion in government subsidies can make sci-fi seem suddenly 'disruptive.'

What's Next?

With Wood's backing and prime infrastructure locked down, Archer's poised to capitalize on the coming aerial taxi gold rush. Just don't expect profitability before 2030—this is growth-stock theater at its finest.

TLDR

• Archer Aviation (ACHR) is acquiring Hawthorne Airport in Los Angeles for $126 million in cash to serve as its air taxi network hub and AI technology testbed.
• The company raised $650 million in new equity capital, bringing total liquidity to over $2 billion.
• Archer’s Midnight aircraft completed record test flights including a 55-mile journey and reached 10,000 feet altitude.
• The company closed its acquisition of Lilium’s patent portfolio for €18 million, expanding Archer’s total IP assets to over 1,000 patents.
• Cathie Wood’s ARK Investment purchased 3,012,500 shares of Archer Aviation worth $28.8 million on November 6, 2025.

Archer Aviation made headlines this week with two major developments. The company announced plans to acquire Hawthorne Airport while securing a massive investment from Cathie Wood’s ARK funds.

Today, we’re sharing our Q3’25 results. This has been a momentous quarter at Archer; here are some of the highlights:

ACQUISITION OF LOS ANGELES AIRPORT AS STRATEGIC AIR TAXI NETWORK HUB AND AI TESTBED
Signed definitive agreements to acquire control of one-of-a-kind aviation… pic.twitter.com/tmwSi77cMq

— Archer (@flyarcher) November 6, 2025

ARK Investment purchased 3,012,500 shares of Archer Aviation on Thursday, November 6, 2025. The transaction totaled $28,829,625 across multiple ARK funds. The purchase came on the same day Archer revealed its third quarter results and several strategic moves.

Archer Aviation Inc., ACHR

The timing of ARK’s investment appears calculated. Archer had just announced it signed definitive agreements to acquire control of Hawthorne Airport for $126 million in cash. The historic airport sits on 80 acres in the heart of Los Angeles, less than three miles from LAX.

Hawthorne Airport includes approximately 190,000 square feet of terminal, office and hangar facilities. Built in the 1920s, the airport was once known as Jack Northrop Field. The location positions Archer NEAR major LA venues including SoFi Stadium, The Forum, Intuit Dome, and Downtown LA.

Archer plans to use the airport as its operational hub for LA air taxi network operations. The company expects the facility to play a key role during the LA28 Olympics Games. The airport will also serve as a testbed for AI-powered aviation technologies Archer is developing with airline partners.

United Airlines’ investment arm is backing Archer’s vision. Michael Leskinen, United’s Chief Financial Officer, stated the company’s investment through United Airlines Ventures supports technologies that will define aviation infrastructure for decades.

Capital Raise Strengthens Financial Position

Archer raised $650 million in new equity capital during the third quarter. The fundraising brings the company’s total liquidity to over $2 billion. Moelis & Company acted as lead placement agent while Cantor Fitzgerald served as joint placement agent.

The capital raise reinforces Archer’s position in the electric vertical takeoff and landing aircraft sector. The company now holds one of the strongest balance sheets in the industry.

Archer also closed its acquisition of Lilium’s patent portfolio for €18 million. The deal added approximately 300 advanced air mobility patent assets to Archer’s holdings. The portfolio includes technology for ducted fans, high-voltage systems, flight controls, electric engines, and propellers.

Following the Lilium acquisition, Archer’s patent portfolio expanded to over 1,000 global assets. This makes it one of the most robust intellectual property collections in the eVTOL industry.

Flight Testing Hits New Milestones

Archer’s Midnight aircraft achieved record performance during the third quarter. The aircraft completed its longest piloted flight to date, covering 55 miles in 31 minutes at speeds exceeding 126 mph. The company also reached a new altitude record of 10,000 feet.

The Midnight aircraft flew demonstration flights at the California International Airshow. Tens of thousands of spectators watched the flights over two days. The demonstrations showcased the aircraft’s quiet operation during flight.

Archer has begun test and demonstration flights in Abu Dhabi. The company is now receiving payments for its Launch Edition program activities in the UAE. Progress continues through the UAE’s regulatory pathway toward in-country certification for commercial passenger flights.

The company expanded its global reach through partnerships in Asia. Korean Air selected Archer as its exclusive air taxi partner in Korea. In Japan, Archer partnered with Japan Airlines and Sumitomo’s joint venture, Soracle, for planned projects in both Osaka and Tokyo.

ARK Investment’s purchase reflects continued interest in disruptive aviation technologies. The $28.8 million investment represents one of ARK’s largest single-day purchases in recent trading activity.