The board of Aeralis has appointed David Buchler and Joanne Milner of Buchler Phillips as Joint Administrators. The appointment notice states that the collapse followed a sustained period of pressure on the company’s cashflow as a result of continued delays to the Defence Investment Plan, combined with geopolitical factors affecting sources of funding.
Aeralis had developed a modular light jet platform designed to support military training, operational support, and aerobatic display requirements, with the company having positioned itself as a potential future replacement for the Red Arrows. The business had established intellectual property, strategic partnerships, and advanced digital engineering capabilities during its development programme.
Robin Southwell, Chairman of Aeralis, said the board had taken the decision after careful consideration. “The Board has taken this decision after careful consideration of the Company’s position and the funding challenges it has faced over recent months. We will continue to support the Joint Administrators as they explore viable, sustainable options for the future of the business and engage with interested parties.”
Joanne Milner of Buchler Phillips said the administration process presented an opportunity to explore routes to preserve value. “Aeralis has developed a highly differentiated proposition within the aerospace and defence sector. We hope that the administration process will provide an opportunity to explore routes to preserve value and develop that value for stakeholders.”
The administrators say they will continue to work with management and stakeholders to assess strategic options for the business and its assets, including opportunities to secure investment and support the continuation of the Aeralis programme in an alternative structure.
The Defence Investment Plan, which is intended to set out the MoD’s funding priorities and programme commitments, has been subject to repeated delays. Its finalisation has been cited in recent parliamentary correspondence as a blocking factor for a number of capability and infrastructure decisions across the armed forces. The Aeralis administration is the most direct public consequence yet of those delays for a UK defence company.