Surf Air Mobility announced a $100 million strategic financing that will accelerate the development and commercialization of its SurfOS software platform while simultaneously reducing the company’s net debt load. The transaction, completed on November 10, 2025, is structured as a combination of a zero‑coupon convertible note, new common equity and warrants, and a prepayment to Palantir Technologies for software services.
The financing is broken down into three components. First, a $74 million zero‑coupon convertible note was issued at 87.8 % of face value, generating $65 million in proceeds and maturing on October 31, 2028. Second, $20 million of new common equity and warrants was sold to an institutional investor and to a related party, with the equity portion priced at the closing price of $3.32 per share. Third, $6 million of new common equity was issued to Palantir Technologies as a prepayment for continued access to its AI and data‑analytics platform, which is integral to SurfOS.
The transaction has a significant impact on Surf Air Mobility’s balance sheet. Net debt fell from $139.1 million at the end of 2024 to $87.2 million after the deal, a 37.3 % reduction. The debt refinancing also eliminates an estimated $5.5 million in annual cash interest expense, improving the company’s cost structure and freeing cash for future investments.
SurfOS, the company’s AI‑enabled software suite, is positioned to launch commercially in 2026. The $26 million of new equity earmarked for SurfOS will fund the development of its flagship products—BrokerOS, OperatorOS, and OwnerOS—expanding the platform’s capabilities and creating a new revenue stream that can be licensed to other regional operators.
The partnership with Palantir is a key element of the SurfOS strategy. The $6 million prepayment secures continued access to Palantir’s Foundry platform, enabling SurfOS to leverage advanced data analytics and predictive modeling. This collaboration is expected to accelerate feature development and enhance operational efficiency for Surf Air Mobility’s airline operations.
CEO Deanna White said the financing marks a pivotal moment for the company, “expanding and accelerating our Transformation Plan while providing capital for continued development of SurfOS over the next several years and significantly strengthening our balance sheet.” CFO Oliver Reeves added that the deal “directs capital to initiatives that will create significant shareholder value and strengthens our balance sheet, reducing net debt by 37.3 %.” Co‑founder Sudhin Shahani highlighted the strategic vision for SurfOS, noting that the platform “aims to become the AI‑enabled software for an industry at the start of its technology transition.”
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