June 11, 2021
Latham & Watkins is advising Vertical
Aerospace Group Ltd. (Vertical), a leading UK-headquartered engineering and
aeronautical business developing electric vertical take-off and landing
aircraft, on its definitive agreement for a business combination with Broadstone
Acquisition Corp., a special purpose acquisition company. The transaction will
result in Vertical becoming a publicly-traded company, with a pro forma equity
value of approximately US$2.2 billion. Vertical will be listed on the New York
Stock Exchange following the combination, which is expected to close in the
second half of 2021.
Vertical is also announcing today
investments from American Airlines, Avolon, Honeywell, and Rolls-Royce, who
have invested in the PIPE and are part of Vertical’s strategic partner
ecosystem; Microsoft’s M12, 40 North, and Rocket Internet SE have also invested
in the business. Commercial partnerships and individual conditional pre-orders
have also been agreed with American Airlines and Avolon and a pre-order option
from Virgin Atlantic for up to 1,000 aircraft in total.
The cross-border Latham team was led by
corporate partners Robbie McLaren and David Stewart, with associates Sarah
Youssefi, Adam Czernikiewicz, and Ramón Moraleda. Advice on tax matters was
provided by partners Jiyeon Lee-Lim and Karl Mah, with associates Shruti Hazra
and Aaron Bradley; and on benefits matters by partners Sarah Gadd and Jennifer
Pepin, with associate Adam Ray.