Skyfly Technologies, a British developer of electric and hybrid-electric vertically capable aircraft, has closed a US$10 million Seed round. The investment was led by specialist growth equity investor HICO Investment Group, with participation from Archangel, Europe's only dedicated next-generation defense technology fund. The capital will move the Axe, a two-seat electric aircraft, from flying prototype to certified production.
Certification under new FAA rules
The timing aligns with the FAA's MOSAIC reforms, which took effect in July 2026 and rewrote Light Sport Aircraft rules. These updated standards admit electric propulsion, multi-motor designs, and vertical take-off aircraft into a category built for private owners. Skyfly designed the Axe for that rulebook, and the funding will complete certification under the new standards.
Production and defense acceleration
The fresh capital will scale production in the UK and US, with first customer deliveries planned for 2027. It will also accelerate the hybrid propulsion system behind the Longbow, an unmanned, longer-range variant aimed at defense and government customers. With a range of more than 400 miles and a 200kg payload, the Longbow targets cargo resupply, ISTAR, medevac, and ship-to-shore logistics.
Momentum and market context
Skyfly arrives with significant momentum, including more than 100 piloted prototype flights and experimental permits in the UK and US. The Axe has drawn crowds at EAA AirVenture Oshkosh in 2025 and 2026, and 61 private customers are on the order book. The light aircraft market has barely changed in half a century, with common two-seat trainers still based on 1970s designs.
Aircraft performance and design
Unlike many small personal eVTOL designs that rely on rotors alone, the Axe hovers on eight fixed-angle electric motors and lets its wings provide lift in forward flight. This architecture reduces cruise energy use and removes tilting motors or rotating wings. It can glide in a power loss, and its winged layout removes heavy, complex mechanisms found on many rivals.
Operating economics and flexibility
The Axe has a projected running cost of around US$90 per flying hour, compared with roughly US$400 for legacy two-seat trainers. It offers a range of more than 100 miles, a flight time of 60 to 90 minutes, a cruising speed of 100 mph, and a 200kg payload. The airframe is technology-agnostic, allowing new battery and motor technology to be fitted as it becomes available.
Manufacturing and flight test progress
Both aircraft will be built at Skyfly's 10,000 sq ft manufacturing and assembly facility in the UK. The company is expanding teams and production capacity in both the UK and the US to support certification and first deliveries. The Axe has completed Europe's first airfield-to-airfield eVTOL flight, and a dedicated US flight test team has been flying since 2025 under experimental permits.
Executive and investor perspectives
CEO Michael Thompson said the investment provides resources to take the Axe from prototype to certified aircraft and to complete series production. HICO's Chris Hartnoll said a simpler electric drivetrain makes aircraft like the Axe practical for private owners and enables Longbow to transform logistics. Archangel's Nicholas Nelson said Longbow addresses a clear requirement for unmanned systems that can move meaningful payloads over significant distances.
The US$10 million Seed round positions Skyfly to complete a new certification pathway and begin customer deliveries, while advancing defense-focused unmanned logistics. With 61 private orders, flight permits in two countries, and production plans in the UK and US, the company is moving from prototype to commercial scale. The announcement underscores how evolving aviation rules and electrification are opening practical routes for private and government aircraft.