British advanced jet trainer startup Aeralis has entered administration after its main financial backer withdrew support and delays persisted around the UK Defence Investment Plan. The company, which was developing a modular trainer concept for potential use by the Royal Air Force and Red Arrows, said around 30 jobs have been lost.
Joint administrators David Buchler and Joanne Milner of Buchler Phillips were appointed to handle the process. They said the collapse followed sustained pressure on Aeralis’s cash flow, driven by continued delays to defense investment decisions and geopolitical factors affecting funding sources.
Barzan Holdings, the strategic investment and procurement arm of Qatar’s Ministry of Defence, had been Aeralis’s primary backer since 2021. It injected £10.5 million into the company, later advanced a £5 million convertible loan, and in early May converted part of that debt into equity, lifting its stake to 24.9%. Around the same time, Omar Fahad Alqadi, Barzan’s chief commercial officer and an Aeralis board director, resigned.
Administrators said they will explore strategic options, including investment and a possible alternative structure for the program.