New Horizon Aircraft (HOVR) Registration Filing summary

Company overview and business model

• Designs and develops hybrid electric vertical takeoff and landing (eVTOL) aircraft for the regional air mobility (RAM) market, targeting both civilian and military applications.

• The flagship product, Cavorite X7, is a 7-seat hybrid eVTOL aircraft designed for efficient, fast, and versatile regional transport (50–500 miles).

• Business model includes manufacturing, direct sales to operators and military, and licensing of proprietary fan-in-wing technology.

• The company is pre-revenue, focused on R&D, and expects to commercialize its aircraft in 2027, pending certification.

Financial performance and metrics

• Reported net losses of $1.25 million (2023) and $1.74 million (2022); accumulated deficit of $13.0 million as of February 29, 2024.

• Research and development expenses were $675,758 (2023) and $752,185 (2022); general and administrative expenses increased due to growth activities.

• Cash and cash equivalents were $4.4 million as of February 29, 2024; company expects current capital to fund operations for at least 12 months.

• No revenue generated to date; expects significant operating losses to continue until at least 2027.

Use of proceeds and capital allocation

• Net proceeds of approximately $3.3 million (or $3.7 million if underwriters exercise their option in full) expected from the offering, assuming a public offering price of $0.74 per share.

• Proceeds will be used for working capital and general corporate purposes; may be temporarily held as cash or cash equivalents if not immediately applied.