Mooney factory for sale

[gdwinc]

It appears the Mooney factory is for sale for $15,000,000. 

 

See this link for the listing: https://www.bizquest.com/business-for-sale/legendary-aircraft-manufacturer/BW1902593/?_cv_index=3&_cv_name=searchagent&_cv_scope=2&_cv_value=csa&u_api=1

The listing includes a "Mooney overview" presentation that provides just a bit of information about the possible gross weight increase, building all carbon Ovations and Acclaims, as well as future development of a 300 knot turbine (Project Phoenix) and VTOL passenger and cargo drones (Project Mache).

 

[LANCECASPER]

Mooney Future.pdf

Very interesting. A lot of good honest points as to why Mooney is where it is today.

It would be great if someone with the capital and the vision bought it and made it competitive again.

[Matt Ward]

Pretty interesting, thanks for sharing!  Interesting too there is no mention of what they consider their customer and TAM to be.  It seems like Diamond was pretty successful with a barbell strategy, going after the training market with the DA20 while also reaching into the high-end market with the DA50 and such.

[carusoam]

Yikes!

Interesting find gdw!

Thanks for sharing it…

Very interesting presentation.

Best regards,

-a-

[Seth]

Fascinating. Also notes that there is a market gap for the 4 place pressurized aircraft for those that really don't need six seats and at a lower price point. Not sure the viability, but a nice presentation. I sincerely hope Mooney lives on.

-Seth

[PilotX]

I am ready to live in Kerrville, now if you guys would start sending your checks for the seed capital, PM me for the Cayman bank account number. You are in good hands.

[mike_elliott]

Perhaps Paulina will contact someone who has a demonstrated track record of success, flying things autonmously, moving business to Texas, lives in nearby Austin, has more than ample cash, and has an interest in VTOL aircraft. It would also help if they had an attitude that they dont care about making piles of cash on day one but thinks big picture.

If she can find such a person, and they "bite", Ill apply to be VP of fanboys...

[toto]

6 minutes ago, Seth said:

Fascinating. Also notes that there is a market gap for the 4 place pressurized aircraft for those that really don't need six seats and at a lower price point. Not sure the viability, but a nice presentation. I sincerely hope Mooney lives on.

-Seth

They mentioned a four-place turbine, but did they also mention a pressurized four place?

It kind of sounded like they were talking about selling a Meridian for the price of a Matrix (but losing two seats and a pressure vessel).

I actually think there’s probably a market for this sort of thing. Many of the SETP owners fly solo or with a single passenger, given the limited useful load of some of these planes. Losing two seats might bring the insurance down a hair.

The icon they used for the four-place turbine gap actually looks like a PC-12 to me, which is *not* an aircraft that suffers from limited useful load

[toto]

13 minutes ago, mike_elliott said:

Perhaps Paulina will contact someone who has a demonstrated track record of success, flying things autonmously, moving business to Texas, lives in nearby Austin, has more than ample cash, and has an interest in VTOL aircraft. It would also help if they had an attitude that they dont care about making piles of cash on day one but thinks big picture.

If she can find such a person, and they "bite", Ill apply to be VP of fanboys...

EM could find $15M in the couch. 

[mike_elliott]

Paulina is big into Crypto, perhaps she can connect via Shinu or Doge

#letsgoelon

[mike_elliott]

1 minute ago, toto said:

EM could find $15M in the couch. 

Yea its pocket lint

[DCarlton]

Such a great design.  Would be exciting if someone could revitalize production and develop enhancements while making it more cost competitive.  Crazy idea, but worse case, I've wondered if the M20 could be turned into a quick build kit.  Vans is selling metal kits as fast as they can be produced and finished airplanes are selling for big money.  There's still a market for metal.  

Edited October 18, 2021 by DCarlton

[Browncbr1]

22 minutes ago, Seth said:

Fascinating. Also notes that there is a market gap for the 4 place pressurized aircraft for those that really don't need six seats and at a lower price point. Not sure the viability, but a nice presentation. I sincerely hope Mooney lives on.

-Seth

Seeing how there is a 2 year wait list on vision jets, that might be true

[EricJ]

I suspect this will be the end of it.

[ilovecornfields]

3 hours ago, LANCECASPER said:

Mooney Future.pdf 2.61 MB · 38 downloads

Very interesting. A lot of good honest points as to why Mooney is where it is today.

It would be great if someone with the capital and the vision bought it and made it competitive again.

Thanks for sharing. If I could get another 200 lb UL and a parachute in my Ovation I would sign up today. Regardless of how we feel about it here, I think the parachute has really given the competition a huge advantage. I wouldn’t mind having and extra tool in the toolbox.

[smccray]

5 hours ago, LANCECASPER said:

Mooney Future.pdf 2.61 MB · 49 downloads

Very interesting. A lot of good honest points as to why Mooney is where it is today.

It would be great if someone with the capital and the vision bought it and made it competitive again.

I notice the date on that presentation is 12/2020.  I would expect the seller to be able to show some meaningful progress on those initiatives- including the list of items identified as 2021 opportunities- over the last 10 months if they expect to sell the company as anything more than a parts business/ faa part 21 certificate.

[1980Mooney]

29 minutes ago, smccray said:

I notice the date on that presentation is 12/2020.  I would expect the seller to be able to show some meaningful progress on those initiatives- including the list of items identified as 2021 opportunities- over the last 10 months if they expect to sell the company as anything more than a parts business/ faa part 21 certificate.

That presentation was designed to raise money so that they could do something. Note that they project parts sales of ONLY $1.0 million for 2020. That is their entire revenue. No plane sales. That is revenue, not contribution (gross margin) after direct costs. I bet their legal fees, insurance and Kerrvile rent and utilities exceed whatever small gross margin comes from parts. 
Their minority partner, the Chinese (who had been infusing cash to cover the negative cash flow/bleeding), have dried up. No Cash = No Development. 

i suspect that they attracted no investment and that’s why they are trying to sell the bones of the carcass that is left. 

Edited October 18, 2021 by 1980Mooney

[geoffb]

Hard to image it being worth much of anything.  I've spent the last few years musing over the sense of MAPA, or a similar entity type club, buying the TC and becoming the parts supplier.  The market for new airframes seems to be limited to the point of being irrelevant.  But with several thousand in the wild needing support, you could imagine a self-sustaining business providing parts and support.

I would think if Univair can make a buck selling Taylorcraft parts, it should be possible to make a living keeping the Mooneys flying.

[Rusty Pilot]

It looks like 25 acres at an air field with 300,000sf of warehouse for a reasonable price $50/sf.  I suspect it will sell in this hot market.  Not, sure what will be manufactured there next.  Inventory and intellectual property can be split up on sold separately by Mooney or the property owner.  I hate to see our brand end, but not sure about any realist alternative.  Like many of us I fly a vintage Mooney and it meets my mission and budget.

[smccray]

25 minutes ago, 1980Mooney said:

That presentation was designed to raise money so that they could do something. Note that they project parts sales of ONLY $1.0 million for 2020. That is their entire revenue. No plane sales. That is revenue, not contribution (gross margin) after direct costs. I bet their legal fees, insurance and Kerrvile rent and utilities exceed whatever small gross margin comes from parts. 
Their minority partner, the Chinese (who had been infusing cash to cover the negative cash flow/bleeding), have dried up. No Cash = No Development. 

i suspect that they attracted no investment and that’s why they are trying to sell the bones of the carcass that is left. 

Agree completely.  Even if the company generated a contribution margin on the parts sales, I doubt they're making much of a dent in the overhead.  Outlook doesn't look good...

However... it may be a great opportunity to make a small fortune in aviation... just start with a big one

 

 

[WaynePierce]

I found it kind of funny when they stated that, if you experience an engine out emergency,  the Mooney has a glide range of 34% more than a Cirrus. Considering that if a Cirrus driver has an engine out, most will pull the chute and glide range is based on winds, and the Mooney keeps gliding to the landing.

 

[A64Pilot]

It’s been since 1989 since I was at the factory, and it was old then.

The value is the Production Certificate, with it you can produce aircraft and parts, not necessarily Mooney’s. but I doubt it’s worth anything close to 15 Mil.

But all of these VTOL flying taxi start ups are going to need a PC to build any of those things, an existing PC has value cause you can start building right away, to get a PC would likely take a Looong time, and you have to pass every environmental regulation etc, an existing one is Grandfathered in.

[mike_elliott]

1 minute ago, A64Pilot said:

It’s been since 1989 since I was at the factory, and it was old then.

The value is the Production Certificate, with it you can produce aircraft and parts, not necessarily Mooney’s. but I doubt it’s worth anything close to 15 Mil.

But all of these VTOL flying taxi start ups are going to need a PC to build any of those things, an existing PC has value cause you can start building right away, to get a PC would likely take a Looong time, and you have to pass every environmental regulation etc, an existing one is Grandfathered in.

#LetsGoElon

[aviatoreb]

Its times like this I wish I were stupid filthy rich.

I would buy this factory just because how cool is that!  Someone could own Mooney!  Not a Mooney.  Ok, ok, don't talk dollars, and cents to me.  I don't understand numbers very well.  

Its like who was that guy?  I liked this shaver so much I bought the company!

[LANCECASPER]

42 minutes ago, aviatoreb said:

Its like who was that guy?  I liked this shaver so much I bought the company!

Victor Kiam