XML 36 R21.htm IDEA: XBRL DOCUMENT v3.21.2
Subsequent Events
 9 Months Ended
Jun. 30, 2021
Subsequent Events [Abstract]  
Subsequent Events

15.

Subsequent Events  

 

In connection with a negotiated forward purchase contract for fully electric aircraft (the “Aircraft Purchase Agreement”) executed in July 2021, the Company entered into a Series A Preferred Stock Purchase Agreement (the “Series A Preferred Stock Purchase Agreement”) and acquired $5.0 million of preferred stock in Heart Aerospace Incorporated (“Heart”). Heart is a privately held company developing an electric aircraft for, among other things, commercial passenger transportation. The initial investment in preferred stock is expected to be measured at cost. The Aircraft Purchase Agreement provides for the purchase of 100 nineteen-seat electric aircraft (“ES-19” aircraft) with an option to purchase an additional 50 ES-19 aircraft, at the Company’s election. The Company’s obligation to purchase the ES-19 aircraft is subject to the Company and Heart first agreeing in the future to a number of terms and conditions, which may or may not be met. In connection with the Aircraft Purchase Agreement and Series A Preferred Stock Purchase Agreement, the Company also obtained a warrant to purchase common shares of Heart. The warrant vests and becomes exercisable in tranches upon completion of specified future milestones.

 

On August 9, 2021, the Company entered into Amendment No. 5 (“Amendment No. 5”) to the Amended and Restated American Capacity Purchase Agreement as described in Note 1.