Energy tycoon loses control of flying taxi company in £40 million deal

In a significant restructuring move, OVO Energy boss Stephen Fitzpatrick has relinquished control of Vertical Aerospace, a flying taxi startup he founded, as part of a £40 million rescue deal. This development comes after the Bristol-based company secured emergency funding from the US investor Mudrick Capital, allowing it to stabilize its operations and continue functioning until at least the end of the following year. Under the terms of the agreement, Fitzpatrick's ownership stake will diminish from 70% to 20%, while Mudrick Capital becomes the majority owner with a 71% stake. Despite this significant shift, Fitzpatrick will remain involved with the company, taking on a strategic role within the board. Vertical Aerospace, which is publicly listed on the New York Stock Exchange, has faced operational challenges for months and employs approximately 300 staff members. The rescue deal comprises £20 million in immediate funding and an additional £20 million contingent on future investments from third parties. Additionally, Fitzpatrick holds the option to invest another £20 million into the company. This deal signifies a critical juncture for Vertical Aerospace, which has been exploring avenues for financial support amid a turbulent period marked by uncertainty regarding its future. The investment from Mudrick Capital may offer the necessary stability as the company seeks to navigate the evolving landscape of the flying taxi market.