Chinese Company Buys Woburn Flying Car Company

WOBURN, MA -- Zhejiang Geely Holding Group of China acquired Terrafugia, the 11-year-old Woburn-based company which has struggled to find a business model for its flying car technology. Terrafugia was founded by five graduates of the MIT aeronautics program to make the vehicle of science fiction a reality. Geely's acquisition gives Terrafugia financial backing as well as the experience of a company credited with helping turn Volvo around.

Terms of the deal were not disclosed. The deal was first announced in June and finalized earlier this month.

"The team at Terrafugia have been at the forefront of believing in and realizing the vision for a flying vehicle and creating the ultimate mobility solution," Geeley Chairman Li Shufu said in a statement.

Under the terms of the deal, Terrafugia will remain headquartered in the U.S. The car -- which Terrafugia prefers to call a "roadable aircraft" has a target price of about $236,000. Owners would use existing airfields but be able to store the vehicle at their homes and drive it on surface roadways when weather conditions do not allow for safe flying.

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Photo courtesy of Terrafugia.

Dave Copeland can be reached at dave.copeland@patch.com or by calling 617-433-7851. Follow him on Twitter (@CopeWrites) and Facebook (/copewrites).