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Jacksonville Begins Otto Aerospace Facility for Phantom 3500 Jets

Jacksonville issues demolition permit for Otto Aerospace’s new manufacturing hub at Cecil Airport, supporting the Phantom 3500 jet production and job creation.

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This article summarizes reporting by the Jax Daily Record and supplementary industry research. As the original local reporting may be subject to a paywall, this article summarizes publicly available elements, public remarks, and economic data.

Jacksonville, Florida, has taken a concrete physical step toward becoming the new manufacturing hub for Otto Aerospace. On March 24, 2026, the city officially issued an interior demolition permit for a hangar at Cecil Airport, according to reporting by the Jax Daily Record. This development signals the start of a massive infrastructure project designed to bring next-generation aviation manufacturing to the Southeast.

The permit marks the beginning of a broader $430 million capital investment plan. Otto Aerospace, currently headquartered in Fort Worth, Texas, intends to relocate its corporate base to Florida to produce its highly anticipated Phantom 3500 business jet. The relocation was initially announced at the Paris Air Show in June 2025 by Florida Governor Ron DeSantis and Otto Aerospace CEO Paul Touw.

Backed by substantial state and local incentive packages, the project is expected to deliver a significant economic boost to the region. Current projections indicate the facility will create up to 1,200 high-paying jobs by 2040, fundamentally reshaping the local aerospace sector.

Demolition and Campus Expansion

Preparing Hangar 825

The initial phase of the project focuses on Hangar 825, located at 6105 Flightline Road at Cecil Airport. Originally constructed by the U.S. Navy for fleet operations, the structure will undergo extensive modifications. According to the Jax Daily Record, the recently issued permit covers 59,130 square feet of interior demolition.

The demolition work, valued at $500,000, is being executed by Balfour Beatty Construction LLC. This site preparation is necessary to facilitate initial company operations and lay the groundwork for the eventual assembly lines required for the Phantom 3500.

A Massive Long-Term Footprint

Beyond the initial hangar renovations, Otto Aerospace has outlined an ambitious long-term expansion strategy. Industry research indicates the company plans to develop a sprawling campus occupying between 80 and 100 acres at Cecil Airport. By January 1, 2032, the aerospace manufacturer aims to construct over 600,000 square feet of dedicated office and manufacturing space.

The Phantom 3500: Redefining Business Aviation

Aerodynamic Innovation and Sustainability

Founded in 2008 by Bill Otto as Otto Aviation, the company originally focused on the Celera 500L before rebranding in September 2025 to concentrate on the Phantom 3500. The new aircraft is marketed as a clean-sheet, twin-engine midsize business jet that prioritizes fuel efficiency and sustainability.

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The Phantom 3500 is designed to carry up to nine passengers with a cabin height of 6.5 feet. It boasts a projected range of 3,500 nautical miles and a cruising altitude of 51,000 feet. The jet’s unique “football-shaped” fuselage utilizes a carbon-fiber composite and full laminar flow design. According to company specifications, this aerodynamic approach reduces drag by 35 percent and cuts fuel consumption by more than 60 percent compared to traditional jets in its class. When utilizing Sustainable Aviation Fuel (SAF), carbon emissions could be reduced by up to 90 percent.

To further streamline the fuselage, the aircraft eliminates traditional porthole windows. Instead, it utilizes a system dubbed “Super Natural Vision.”

The jet features 72-inch high-definition digital displays that provide passengers with window-like views using exterior cameras.

Flight testing for the Phantom 3500 is scheduled to commence in the 2026 to 2027 timeframe, with FAA Part 23 certification and commercial entry into service targeted for 2030.

Market Validation and the Flexjet Order

The aircraft has already secured significant market validation. In September 2025, fractional ownership provider Flexjet became the launch customer, placing a firm order for 300 aircraft. While exact commercial terms remain undisclosed, industry estimates place the value of the Flexjet contract between $5 billion and $6 billion. Furthermore, Flexjet is slated to serve as an authorized service center for the new fleet.

Economic Incentives and Job Creation

State and Local Backing

To secure the $430 million capital investment, Florida state and local governments assembled a highly competitive incentive package. The State of Florida approved Corporate Income Tax Credits (CITC) and High Impact Performance Incentive (HIPI) grants.

At the local level, the Jacksonville Aviation Authority (JAA) approved a $34.9 million package in May 2025. This includes $22.5 million dedicated to site preparation and the extension of taxiway E-1, alongside $3.73 million in rent and maintenance abatements, and $1.5 million in rent credits for Hangar 825. Additionally, in June 2025, the Jacksonville City Council voted unanimously (18-0) to approve a $20 million incentive package via a 20-year, 75 percent Recapture Enhanced Value (REV) Grant.

In return, Otto Aerospace has committed to creating at least 400 jobs with an average salary of $90,000 by the end of 2031, with the potential to scale up to 1,200 employees by 2040.

AirPro News analysis

The arrival of Otto Aerospace represents a transformative moment for Cecil Airport and the broader Jacksonville aviation sector. Since taking ownership of the former U.S. Navy base in 1999, the JAA has invested $372 million into capital projects, steadily building the site’s infrastructure.

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We view this development as a critical anchor for the region’s aerospace ambitions. Cecil Airport is already home to Cecil Spaceport, where the JAA has invested $31 million and is actively seeking a federal re-entry license from the FAA to allow commercial spacecraft to land on its 12,500-foot runway. By combining next-generation, sustainable aviation manufacturing with commercial spaceflight capabilities, Jacksonville is uniquely positioning itself as a premier, multi-domain aerospace hub in the Southeastern United States. The successful execution of the Otto Aerospace campus will likely attract further tier-one and tier-two suppliers to the region.

Frequently Asked Questions

What is the Phantom 3500?

The Phantom 3500 is a midsize, twin-engine business jet developed by Otto Aerospace. It utilizes a unique aerodynamic design to significantly reduce fuel consumption and carbon emissions, and features digital displays instead of traditional passenger windows.

When will the new manufacturing facility open?

Site preparation and interior demolition began in March 2026. Otto Aerospace plans to construct over 600,000 square feet of manufacturing and office space at Cecil Airport by January 1, 2032.

How many jobs will the project create?

The company has committed to creating 400 jobs with an average salary of $90,000 by the end of 2031, with long-term projections estimating up to 1,200 local jobs by 2040.


Sources:
Jax Daily Record
Industry Research & Economic Data

Photo Credit: Otto Aerospace

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JETNET Evolves iQ to Continuous Data Model Ending RVA Partnership

JETNET transforms its iQ forecasting service to continuous data intelligence, ending its 15-year partnership with RVA in May 2026.

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This article is based on an official press release from JETNET.

On March 16, 2026, aviation data and market intelligence provider JETNET announced a strategic restructuring of its flagship market forecasting service, JETNET iQ. According to the official press release, the company is transitioning the program from a periodic, survey-based reporting model to a continuous, multi-format data intelligence platform.

This strategic pivot marks the conclusion of a 15-year partnership with Rolland Vincent Associates (RVA), which co-founded the iQ program in 2010. The partnership will officially end in May 2026 following the release of the Q1 2026 report, allowing both entities to pursue independent intelligence models.

As JETNET leans into real-time analytics, AI, and its recent acquisitions, RVA plans to independently continue its legacy of survey-based research. We at AirPro News view this amicable split as a reflection of the business aviation industry’s growing need for both instantaneous quantitative data and deep, human-driven sentiment analysis.

The Next Evolution of JETNET iQ

Shifting to Continuous Intelligence

For over a decade, JETNET iQ has been a staple in business aviation forecasting. Since its inception, the program has gathered sentiment from more than 25,000 aircraft owners and operators worldwide. However, the official press release outlines a definitive shift away from standalone quarterly and annual reports.

Instead, JETNET will deliver ongoing analysis through articles, webinars, digital briefings, and live presentations. The company also plans to integrate these insights directly into more than 20 industry events and tradeshows throughout the year, allowing for real-time commentary on unfolding Market-Analysis.

Derek Swaim, CEO of JETNET, explained the rationale behind the shift in the company’s release:

Business aviation professionals are increasingly seeking data-driven insights aligned with real-world developments as they unfold. The next generation of JETNET iQ is designed to deliver exactly that.

The RVA Split and Future Paths

RVA to Continue Survey Legacy

The conclusion of the JETNET-RVA partnership in May 2026 will see both entities charting distinct paths. Rolland “Rollie” Vincent, founder of RVA, announced that he will rebrand and continue the survey product independently starting with the Q2 2026 survey, maintaining the statistical rigor the industry relies on.

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JETNET executives expressed public support for RVA’s ongoing work. Josh Baird, President and COO of JETNET, noted in the press release that RVA has built a strong reputation for capturing operator sentiment, adding that JETNET is excited to see RVA advance its survey-based insights.

Speaking to Aviation International News regarding the transition, Rolland Vincent emphasized the continuity of his research:

Without skipping a beat or missing a quarter, we are moving forward from JetNet iQ’s foundation to create the next generation of business aviation intelligence.

Technological Drivers and Industry Context

AI and Real-Time Data Integration

JETNET’s strategic pivot aligns with broader macro-trends currently reshaping the 2026 business aviation sector. Industry estimates project global utilization to set record highs this year, tracking nearly 5% year-over-year growth. This high-demand environment, coupled with Supply-Chain constraints, requires faster, more actionable data.

The evolution of JETNET iQ is heavily influenced by the company’s recent technological investments. Following a 2022 growth investment from Silversmith Capital Partners, JETNET acquired flight utilization tracker WINGX in June 2023. According to industry research, WINGX subscriptions grew by over 30% in 2025, reflecting a rising demand for integrated flight and ground activity intelligence.

Furthermore, the October 2025 Launch of “JETNET AI” introduced explainable generative AI into the company’s ecosystem, allowing users to query fleet intelligence using natural language. The new continuous data model of JETNET iQ is a natural extension of this push toward instant, workflow-integrated intelligence.

Richard Koe, Managing Director of WINGX, hinted at future integrations in the press release:

This is just the beginning. We look forward to sharing more exciting developments as JETNET iQ continues to grow and evolve.

AirPro News analysis

We observe that the amicable split between JETNET and RVA represents a fascinating divergence in market intelligence philosophies within business aviation. JETNET is clearly doubling down on hard, real-time data, leveraging flight tracking, AI, and transaction speeds to provide instantaneous insights that match the pace of the modern market.

Conversely, RVA is preserving the crucial human element of operator sentiment and survey data. As the industry navigates shifting inventory and utilization records in 2026, professionals will likely find distinct value in both the immediate quantitative data provided by JETNET and the qualitative, sentiment-driven forecasting maintained by RVA. The era of the static quarterly report is giving way to a more dynamic, bifurcated approach to industry intelligence.

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Frequently Asked Questions (FAQ)

When does the JETNET and RVA partnership officially end?
The 15-year partnership will conclude in May 2026, following the publication of the Q1 2026 JETNET iQ report.

Will the JETNET iQ surveys continue?
JETNET is shifting iQ to a continuous data intelligence program. However, Rolland Vincent Associates (RVA) will independently rebrand and continue the legacy survey-based research starting in Q2 2026.

What is driving JETNET’s new strategy?
The shift is driven by industry demand for real-time data, the integration of JETNET’s 2023 acquisition of WINGX, and the recent rollout of JETNET AI.

Sources: JETNET Press Release

Photo Credit: Montage

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Challenges for Business Aviation Securing Slots at International Airports

Business aviation faces slot allocation challenges at major international airports due to commercial airline priority and complex regulations.

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This article summarizes reporting by NBAA’s Business Aviation Insider and journalist J. Smith.

For business aviation operators in the United States, pivoting to a secondary general aviation (GA) airport is a standard operational adjustment. However, securing landing and departure slots at major international hubs presents a significantly more complex logistical hurdle. At these global facilities, private jets are frequently at the mercy of commercial airline schedules and stringent local regulations.

According to reporting in the March/April 2026 issue of NBAA’s Business Aviation Insider, business aviation typically accounts for only a single-digit percentage of traffic at large airline hubs. This stark volume disparity means that commercial airlines are heavily prioritized when airport authorities allocate infrastructure and operational slots.

To navigate these bottlenecks, veteran schedulers and dispatchers are evolving beyond traditional administrative roles. Today, they act as international diplomats and vital safety officers, utilizing advanced planning, cultural negotiation, and Safety Management Systems (SMS) to secure access to highly restricted global airfields.

The Commercial vs. Business Aviation Imbalance

The Ad Hoc Disadvantage

The primary friction point between commercial and private aviation at international hubs stems from scheduling models. Commercial airlines plan their flight schedules months or even years in advance, allowing them to secure the vast majority of available airport slots. In contrast, business aviation is inherently reactive and short-notice.

Sean Raftery, Managing Director of Universal Aviation for the UK and Ireland, noted in the NBAA report that airlines do not inherently possess more rights to these airports. Instead, the disparity is a byproduct of scheduling styles.

“[B]usiness aviation is by nature ad hoc, so we tend to get what the airlines have left for us,” Raftery explained.

Night Slots and the London Squeeze

Nighttime operations remain the most significant pain point for international business aviation. Many major global airports enforce strict noise curfews, and the few night slots that do exist are frequently absorbed by delayed commercial flights. When international airports conduct environmental noise studies, they often base their data entirely on commercial traffic, leaving business aviation policies as an afterthought.

The NBAA report highlights the peak summer squeeze in London as a prime example. Historically, London Stansted (STN) and Luton (LTN) served as the primary 24/7 options for business aviation, relying on a small pool of ad-hoc slots. In recent years, however, these slots have been increasingly withdrawn to accommodate over-running commercial traffic. Because alternative GA airports like Farnborough and Biggin Hill close at night, operators face severe logistical bottlenecks that often force diversions or overnight holds.

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Advocacy and Cultural Diplomacy

A Success Story in Hong Kong

Overcoming systemic biases at international hubs requires coordinated industry advocacy. Hong Kong International Airport previously operated a slot system designed exclusively for commercial aviation, effectively locking business aviation out of night slots while allowing commercial airliners to depart at 1:00 a.m.

Sarah Kalmeta, founder of Pivot Point International and a former board member of the Asian Business Aviation Association (AsBAA), helped lead a multi-year advocacy campaign to rectify this. By challenging the “apples-to-oranges” data comparisons used in the airport’s noise studies, AsBAA successfully lobbied for dedicated night access.

“Eventually, we secured night slots for business aviation, which was a big win,” Kalmeta stated, noting the effort required careful cultural navigation.

Navigating Global Bureaucracy

Securing international slots requires dispatchers to navigate complex foreign government agencies. According to the NBAA coverage, experts emphasize that trust-building and mutual respect are foundational to negotiations, particularly in Asian business cultures where aggressive tactics can create operational friction.

Schedulers must also be fluent in diverse global slot request formats, such as GCR in Germany, SCR in Poland, and SSIM in Israel. Understanding local deviation tolerances is equally critical; missing a strict -/+ 10-minute window can result in heavy financial penalties or the detention of flight crews. To mitigate these risks, operators are advised to leverage local Fixed Base Operators (FBOs) and ground handlers who maintain established relationships with local slot coordinators.

The Evolving Role of Schedulers in Safety

Integration into Safety Management Systems (SMS)

The March/April 2026 NBAA report underscores a critical industry shift: schedulers and dispatchers are no longer viewed merely as booking agents. They are now recognized as essential components of a flight department’s Safety Management System (SMS).

James Lara, principal at Gray Stone Advisors, argues that schedulers should be licensed, trained, and fully integrated into the operational safety culture to prevent last-minute compromises.

“They must be considered an essential part of the flight operation’s safety culture,” Lara emphasized regarding the modern dispatcher’s role.

Proactive Risk Mitigation

Before a pilot even reviews a trip itinerary, a trained scheduler can utilize a Flight Risk Assessment Tool (FRAT) to verify if a highly restricted international destination is suitable for a specific aircraft’s weight and runway requirements. By proactively altering departure times, dispatchers can account for temperature and density altitude issues, or ensure that strict crew duty and rest time requirements are met long before the engines start.

AirPro News analysis

We observe that the ongoing friction at international hubs highlights a broader infrastructure gap in global aviation. Because major international airports rely heavily on commercial-centric data for environmental and noise studies, private aviation is systematically disadvantaged in policy-making. The lack of dedicated business aviation infrastructure at these global hubs not only complicates logistics for flight departments but also threatens to impact the broader international business economy that relies on agile, on-demand travel. Moving forward, the proactive advocacy work demonstrated by groups like AsBAA and NBAA will be vital in ensuring private aviation retains a foothold at tier-one international airports.

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Frequently Asked Questions

Why is it difficult for business aviation to secure slots at international hubs?

Business aviation is inherently ad hoc, whereas commercial airlines schedule flights months or years in advance. Because business jets account for a single-digit percentage of traffic at large hubs, they are often left to compete for whatever slot inventory remains after commercial allocations.

What are the penalties for missing an international slot time?

Depending on the jurisdiction, missing a slot window (which can have a strict deviation tolerance of just -/+ 10 minutes) can result in heavy financial fines, loss of future slot privileges, or even the temporary detention of the aircraft and crew.

How do schedulers contribute to flight safety?

Modern schedulers use Flight Risk Assessment Tools (FRAT) to evaluate airport suitability, anticipate weather or density altitude hazards, and manage crew rest requirements before a flight is officially dispatched, making them a core part of a flight department’s Safety Management System (SMS).

Sources:
NBAA Business Aviation Insider

Photo Credit: NBAA

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Catheter Precision Expands Flyte Hops Regional Jet Platform

Catheter Precision expands Flyte Hops using Cirrus Vision Jets for short-haul regional flights under 500 miles with $88M financing.

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This article is based on an official press release from Catheter Precision, Inc. and Fly Flyte, Inc.

On March 25, 2026, Catheter Precision, Inc. (NYSE American: VTAK) and its wholly-owned subsidiary, Fly Flyte, Inc. (“Flyte”), announced the expansion of its “Flyte Hops” platform. According to the company’s press release, the service is designed as a scalable, short-haul regional travel solution powered entirely by a fleet of Cirrus Vision Jets. By targeting flight routes under 500 miles, Flyte aims to bridge the gap between the inefficiencies of commercial airlines and the historically prohibitive costs of traditional Private-Jets charters.

The announcement follows a dramatic corporate restructuring. Catheter Precision, traditionally known as a medical device company focused on cardiac arrhythmia treatments, has fully acquired Flyte and secured significant institutional financing to pivot its business model into the regional air mobility sector. This transition marks a highly unusual but aggressive move into the private aviation market.

We have reviewed the official statements and accompanying industry research to break down the operational model, the financial mechanics of the acquisition, and the broader implications for regional air travel.

The “Flyte Hops” Platform and Fleet Strategy

The core of the Flyte Hops model is transforming private aviation from a discretionary luxury into a practical, high-frequency transportation solution. According to the release, the platform is purpose-built for short-haul flights under approximately 500 miles. Flights are operated by Flyte’s wholly-owned subsidiary, Ponderosa Air, LLC, which holds an FAA Part 135 air carrier certification.

To optimize fleet utilization, the company states that the platform relies on AI-driven scheduling and pricing. Passengers utilizing the service gain access to private fixed-base operators (FBOs), allowing them to bypass traditional TSA security delays and significantly reduce overall travel time.

Right-Sizing Regional Travel

Industry research highlights that the United States is home to over 5,000 public-use Airports, the vast majority of which are unserved or underserved by major commercial airlines. Flyte’s model capitalizes on this underutilized infrastructure, offering point-to-point travel that avoids congested major hubs.

Traditional legacy charter operators often rely on larger aircraft that are highly inefficient and cost-prohibitive for 300-to-500-mile trips. By matching the aircraft capability to the actual mission demand, Flyte aims to achieve a lower cost per flight hour and higher asset utilization.

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Fleet Expansion and Organic Demand

Flyte is actively expanding its footprint to capture market share in these regional corridors. According to the provided research, Flyte currently operates three aircraft. Two additional Vision Jets are currently under accepted bids and are expected to be fully operational by Memorial Day 2026, which will bring the near-term fleet to five aircraft.

The company officially launched “Flyte Hops Florida” on March 16, 2026, connecting the U.S. East Coast from Maine to Florida. During a soft rollout in Florida, industry data indicates that a single aircraft generated over $160,000 in inbound flight bookings without any marketing spend, demonstrating strong organic demand. Following the East Coast rollout, Flyte plans to expand operations into California and Texas later in 2026.

Corporate Restructuring: From Medical Devices to Aviation

To understand Flyte’s current trajectory, it is necessary to examine its recent corporate history. Flyte was previously majority-owned by Creatd, Inc. (CRTD), which acquired the company in early 2025 and implemented a turnaround strategy focused on operational optimization and AI integration.

On March 10, 2026, Catheter Precision completed the Acquisitions of the remaining 80% equity stake in Flyte and 100% of Ponderosa Air, LLC from Creatd. According to financial reports, the deal was valued at approximately $11.55 to $12 million, structured as $6 million in cash and $6 million in VTAK convertible preferred stock.

To support this aviation venture, VTAK actively restructured its balance sheet. In February 2026, the company sold off non-core medical assets, specifically its atherectomy catheter technologies. Concurrently with the Flyte acquisition, VTAK announced it had secured up to $88 million in strategic institutional financing commitments to fund fleet expansion and scale the aviation platform.

The Verijet Connection

Flyte’s growth strategy also involves capitalizing on recent industry consolidation. In late 2025, Flyte actively pursued the acquisition of grounded Cirrus Vision Jets and infrastructure from Verijet, a former top-15 U.S. private jet operator that filed for Chapter 7 bankruptcy. This move allows Flyte to absorb existing assets and meet market demand while attempting to avoid the operational pitfalls that hindered its predecessors.

Safety and Consumer Appeal

A major selling point for consumers wary of small aircraft is the specific safety profile of the Cirrus Vision Jet. The aircraft is a single-engine very light jet known for its low operating costs, but it also features proprietary safety technologies.

“The Cirrus Vision Jet features the Cirrus Airframe Parachute System (CAPS), the only full-aircraft parachute system in private aviation, and a ‘Safe Return’ Emergency Auto-land system that allows autonomous navigation and landing at the push of a button.”

According to industry analysts, these features are critical differentiators that help build passenger confidence in single-engine regional air mobility.

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AirPro News analysis

The transition of Catheter Precision from a medical device manufacturer to a regional air mobility operator is one of the most unique corporate pivots we have observed this year. Following the completion of the Flyte acquisition in early March 2026, retail sentiment for VTAK surged, with the stock price experiencing a notable 50% increase as investors reacted positively to the company’s entry into the private aviation sector.

However, financial analysts note that this pivot remains highly speculative. Prior to securing the recent $88 million in financing commitments, VTAK exhibited signs of financial distress, including a low Altman Z-Score and Piotroski F-Score. The ultimate success of this venture will rely heavily on the executive team’s ability to successfully integrate the aviation business, scale the fleet efficiently, and maintain strict unit economics in a notoriously capital-intensive industry.

Frequently Asked Questions

What is the Flyte Hops platform?
Flyte Hops is a regional private aviation service focused on short-haul flights under 500 miles, utilizing a fleet of Cirrus Vision Jets to provide cost-effective, point-to-point travel bypassing major commercial airport hubs.

Who owns Flyte?
Flyte (Fly Flyte, Inc.) and its operating subsidiary, Ponderosa Air, LLC, are wholly-owned subsidiaries of Catheter Precision, Inc. (NYSE American: VTAK), which acquired the remaining 80% stake from Creatd, Inc. in March 2026.

How is Catheter Precision funding this aviation expansion?
The company sold off non-core medical assets in February 2026 and secured up to $88 million in strategic institutional financing commitments to fund the acquisition and subsequent fleet expansion.

Sources

Photo Credit: Flyte

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