Air Canada (AC) says it plans to purchase 30 electric planes from privately held Heart
Aerospace.
The electric airplanes are to be used on Air Canada’s regional routes and are aimed at helping
the Montreal-based carrier lower its greenhouse gas emissions and fuel costs.
Sweden-based Heart Aerospace's electric aircraft are still under development and are expected
to have a capacity for up to 30 passengers and generate zero emissions when they enter
service in 2028.
The cost to purchase the 30 electric aircraft was not disclosed. However, Air Canada's deal
includes a $5 million equity stake in Heart Aerospace.
Air Canada’s agreement to purchase the electric planes comes after a 2021 deal by U.S. carrier
United Airlines (UAL) to buy 100 19-seat electric planes from Heart Aerospace.
Air Canada’s stock is down 17% this year and trading at $18.39 per share.
