Michigan Pension Fund to Invest in Avtek Plane
A state pension fund in Michigan announced its intention to invest up to $12.5 million in a new corporate airplane being developed by Avtek Corp. of Camarillo.
The State of Michigan Retirement Systems Venture Capital Fund, which invests in new firms seen as having high growth potential, said its investment would be conditioned on Avtek receiving a similar-sized investment from private investors.
In September, Avtek said it would build the plane in Battle Creek, Mich., if the plane receives the necessary Federal Aviation Administration certification. Avtek chose Michigan because the state agreed to help raise part of the $20 million that Avtek needs for the various tests required by the FAA.
Avtek’s plane, a twin-engine, 6,600-pound aircraft that will cost about $1.75 million, is made mostly of plastic-like fiber “composites” designed to make it lighter and less costly.