Qatar’s state-owned investment company Barzan Holdings has increased its stake in UK modular trainer aircraft developer Aeralis by converting part of a previous £5 million ($6.7 million) loan into shares.
Barzan in December last year exercised its right to convert part of the outstanding balance into shares, the UK firm’s latest accounts disclose.
This will initially raise its stake in Aeralis to 24.9%, a figure that could increase further if it opts to convert the remainder of the loan balance, equating to another 25.2% of the company.
Originally made in 2023, the £5 million loan became convertible in January 2024. If exercised in full it would give Barzan a 50.1% shareholding.
Additionally, Aeralis has secured another £1.8 million loan “from shareholder support”, repayable on demand and bearing an annual interest rate of 8%. As of 31 December 2024 – the period covered by the accounts – Aeralis had £5.8 million in outstanding loans.
No details of the source of the latest funding are disclosed in the accounts, however. Companies House documents show that as of 30 April 2025, there were 59 separate shareholders in Aeralis.
These include the firm’s founder and chief executive Tristan Crawford, who at that date held 400,000, or 51.5%, of the company’s shares.
Qatari firm Al Shamal 5, in which Barzan Holdings is the principal shareholder, is shown with a stake of 134,892 shares in Aeralis, or 17.3%.
Barzan Holdings first invested in Aeralis in 2021, injecting £10.5 million into the UK start-up.
For the year to 31 December 2024, Aeralis’s liabilities outstripped its assets, leading to a net liability figure of £5.6 million, up on the £1.5 million recorded a year earlier, according to the balance sheet information provided.
The firm’s profit and loss account also remained in the red, increasing to a £17.8 million loss from negative £13.6 million at the end of 2023.
Aeralis’s directors believe it is appropriate to adopt a ‘going concern’ basis for the company based on the short-term financing so far secured, the reduction of cash outflows through the debt-for-equity swap, future fund-raising efforts, and the broader defence spending environment in the UK.
Notably, the UK Ministry of Defence intends shortly to begin the process of replacing its BAE Systems Hawk trainer fleet, a requirement which Aeralis believes can be met with its modular light jet offering.
Meanwhile, Aeralis has also appointed Omar Fahad Alqadi – Barzan Holdings’ chief commercial officer – as a director.
