An aviation investment coalition led by United Airlines announced Tuesday that it had purchased a stake in the direct air capture company Heirloom, shrugging off the potential for Trump-related turbulence.
United and Heirloom declined to reveal the size of the Sustainable Flight Fund’s investment, which also includes the option to buy 500,000 metric tons of carbon dioxide removals at an undisclosed price and time. But the fund’s average deal size is generally between $5 million and $10 million, according to Andrew Chang, the head of United’s venture capital arm.
“We think there’s a good opportunity to make money here,” Chang said of the fund’s Heirloom holdings in an interview ahead of the announcement.
The flight fund is a $200 million initiative that seeks to advance the production of jet fuel alternatives with lower carbon dioxide emissions. It’s administered by United Airlines Ventures and includes investments from Aramco, Google, Boeing and more than a dozen other aviation companies or firms with ties to the industry.
