U.S. authorities have approved a $25 million investment by South Korea’s Hanwha Systems in a Karem Aircraft spinoff venture, Overair.
Overair chief commercial officer Ryan Doss confirmed in an email to eVTOL.com that the Committee on Foreign Investment in the United States (CFIUS) has completed its review of the deal, allowing the new venture to move forward.
Overair was announced in July under the provisional name K4 Aeronautics. It will focus exclusively on Karem’s eVTOL air taxi concept, “Butterfly,” which is being developed in the context of Uber’s Elevate initiative.
Based on Karem’s patented optimum speed rotor technology, the Butterfly design has four variable-speed tilting electric rotors mounted on its wings and tail. Karem has said that Butterfly’s large, slow-turning rotors will provide the efficient lift and quiet acoustics that are vital for the air taxi mission.
In addition to Doss, Overair’s founding team includes CEO Ben Tigner and chief designer Abe Karem, who also serves as chief designer for Karem Aircraft.
Hanwha Systems is a defense and information technology firm, part of the industrial conglomerate Hanwha Group. According to a Dec. 8 story in the Korea Herald, Hanwha Systems CEO Kim Youn-chul said the company will “actively forge global partnerships to foster the air taxi business as our future growth engine.”