Adam Aircraft ‘Moving Forward’ on Funding Options

 - February 7, 2008, 10:14 AM

Englewood, Colo.-based Adam Aircraft isn’t yet saying whether it met a “self imposed” deadline of January 31 to raise $30.5 million in short-term funding. On January 15, Adam Aircraft CEO John Wolf sent a letter to investors warning that the private company could liquidate some shareholder assets if the short-term financing round failed. A spokeswoman told AIN that the aircraft manufacturer is “moving forward with our [short-term] funding options with investors and will release more details soon.” A second, longer-term equity financing of $100 million to $150 million is being led by Citibank, with Wolf previously indicating May 31 as the critical date for this funding. The spokeswoman said Citibank is actively engaged in securing this funding, but she would not provide further details. Meanwhile, Pueblo, Colo., is seeking to recover much of the $2.4 million incentive the city gave Adam Aircraft for the promise of creating 448 jobs in the area. Nearly all of the 90 people Adam employed at the Pueblo facility were laid off last month and the company has since moved the tailboom construction previously done there back to its Englewood headquarters. Adam is working to resolve the issue with Pueblo city officials, it said.