MW This GE, Amazon-backed electric-plane maker sees strong demand for its IPO

By Steve Gelsi

Vermont-based plane maker's upsized IPO priced above its estimated range, to generate proceeds of $1 billion

Beta Technologies makes the Alia CTOL electric plane.

Beta Technologies Inc. saw strong demand for its initial public offering of shares, which brought in $1 billion in proceeds, as the electric-plane maker's stock gets set to trade on Tuesday.

The demand comes as the electric conventional takeoff and landing (eCTOL) company $(BETA)$ is backed by well-known investors, including GE Aerospace $(GE)$ and Amazon.com Inc. (AMZN), and has partners including United Parcel Service Inc. (UPS) and the U.S. military.

The IPO priced overnight at $34 a share, above its estimated range of $27 to $33 a share. And even at the higher price, the company sold 29.85 million shares in the IPO, which was 4.85 million more than it had expected to sell, to raise $1.01 billion.

With 218.9 million shares outstanding, the IPO pricing implies a market capitalization of $7.44 billion. Morgan Stanley and Goldman Sachs are lead underwriters of the IPO.

While pricing and upsized offering would indicate strong investor demand when the stock starts trading, there's always a question of how long the IPO hype can last.

For example, when electric vertical TOL company Joby Aviation Inc. (JOBY) went public after the Aug. 10, 2021 close, the stock soared 33.6% the next day to close at $13.40, but then closed a year later at $6.16. Demand picked up again, and it closed at a record $20.39 on Aug. 4, before paring gains since then.

Also in the eVTOL business, Archer Aviation Inc.'s stock (ACHR) closed its first day of trading at $9.48 on Sept. 17, 2021, then closed a year later at $3. More recently, it closed at a fresh high of $13.64 on Oct. 6, before pulling back.

Meanwhile, Beta Technologies' IPO comes after GE Aerospace purchased $300 million in equity in September, placed one of its executives on its board of directors and announced agreements to develop turbogenerators and propulsion technologies for hybrid-electric applications with the company.

Amazon (AMZN) is an investor in the company through its Climate Pledge Fund, as well as FMR LLC, the parent company of Fidelity Investments, according to filings. John E. Abele, the co-founder of Boston Scientific Corp. $(BSX)$, is on the board of directors of Beta Technologies.

UPS, United Therapeutics Corp. $(UTHR)$ and the U.S. military were listed by the company partners for the Alia CTOL aircraft.

Founded in 2018 by test pilot Kyle Clark, Vermont-based Beta Technologies has not yet delivered any certified aircraft and has not recognized any revenue from the plane, but it reported a backlog 158 firm orders and 402 optional orders. The company's goal is to gain certification for the plane by early 2028.

It's also in the process of testing its electric aircraft for commercial feasibility and Federal Aviation Administration certification.

It's also developing the Alia VTOL (A250) vertical takeoff and landing aircraft.

Beta Technologies reported a loss of $183.2 million on revenue of $15.6 million in the six months ended June 30, compared with a loss of $137.1 million and revenue of $7.6 million in the year-ago period.

-Steve Gelsi

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November 04, 2025 10:23 ET (15:23 GMT)

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