Germany’s Lilium will increase as much as $250 million, together with from its largest shareholder Tencent Holdings, to fund the event of its eVTOL (electrical vertical take-off and touchdown) jet.

Lilium’s U.S.-listed shares surged 43 % in premarket buying and selling after the air taxi developer mentioned the funds will allow it to cowl “a lot of the estimated capital” for its first manned flight.

Lilium is competing in a crowded marketplace for eVTOL autos, hoping to exchange vehicles with plane or helicopters for highway journeys or brief hops.

Headed by former Airbus govt Klaus Roewe, Lilium is initially focusing on contracts with massive firms and personal people. It says it has 640 potential orders.

Tencent-affiliate Aceville will get 184.2 million Lilium warrants price $1 per Class A share, Lilium mentioned.

Aceville will pre-fund $100 million of the mixture train value of the warrants upon issuance and can contribute an additional $75 million if Lilium raises the identical quantity by fairness, debt or grants from some third events.

Lilium didn’t disclose the valuation at which it deliberate to boost the funds. The corporate had a market capitalization of $152.43 million as of the shut of commerce on Monday, in line with Refinitiv information.

Tencent owns a 23.4 % stake in Lilium, as per Refinitiv information.

It had about $157.5 million of money, money equivalents and different monetary property as of March 31.