(Bloomberg) -- Archer Aviation Inc. said it raised $215 million in funding and patched up a legal dispute with Boeing Co., paving the way for the electric air-taxi startup to collaborate with its former adversary on future designs. 

Archer received investments from Boeing, as well as existing backers Stellantis NV, United Airlines Holdings Inc. and tech-focused Ark Invest, it said in a statement Thursday. The California startup will work with Boeing and its Wisk Aero LLC flying-taxi venture on autonomous flight technology, it said.

Boeing said it looked forward to possible collaboration between Archer and Wisk in the aftermath of the settlement. “Our investment in Archer will support the potential integration of Wisk’s autonomous technology in future variants of Archer’s aircraft, pursuant to Wisk’s exclusive right to be their autonomy provider,” a spokesperson said in an emailed statement. 

Collaborating with Wisk will give Archer a powerful supplier for autonomous technology, even as it works to win approvals for its initial model requiring a human pilot. Archer is targeting 2025 for an entry into service of its Midnight electric vertical take-off and landing aircraft, or eVTOL, a five-seat craft with tilting propellers.

Archer said Thursday that the Midnight received a Special Airworthiness Certificate from the US Federal Aviation Administration, allowing the company to begin flight tests in coming weeks. Archer must still demonstrate that the aircraft meets safety requirements.

Shares of Archer surged on the news in postmarket trading. The stock pared a jump of as much as 37% to trade up 27% to $7.43 as of 7:24 p.m. in New York.

Manufacturing partner Stellantis, the maker of Jeep and Ram vehicles, accelerated $70 million in funding pledged under a partnership agreement announced in January. Archer said $55 million remains available under the facility. In June, Stellantis raised its stake in Archer through open-market stock purchases.

Archer didn’t disclose details of the investments from Boeing, United and Ark. The company said it will save significant development costs by sourcing autonomy technology from Boeing’s Wisk, which is focused on pilotless aircraft. The two sides were scheduled to go to trial on their patent dispute in September. 

Ark is already one of Archer’s biggest shareholders. United agreed to invest $20 million in Archer in 2021 and has since made a $10 million down payment on future deliveries.

Archer is among startups around the world working to get eVTOLs to market by the middle of the decade, aiming to revolutionize short hops and offer well-heeled travelers a quicker and cleaner alternative to taxis on commutes to airports.

The company reported on Thursday that it lost $184.1 million during the second quarter. Archer said it’s on track to deliver its first Midnight craft to the US Air Force later this year or early next year.

--With assistance from Alan Levin.

(Updates from third paragraph with comment from Boeing.)

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