Flexjet, the private jet operator, has raised $800 million in fresh capital led by L Catterton, a private equity firm backed by luxury conglomerate LVMH. The funding round values the company at $4 billion, marking a significant jump from the $3.1 billion valuation it sought during a failed SPAC deal in 2022 with Todd Boehly’s Horizon Acquisition Corp. II.
Additional investors include affiliates of KSL Capital Partners and the J. Safra Group. The new valuation signals strong investor confidence in private aviation and reflects a broader market shift as more companies opt to stay private, avoiding public-market volatility and quarterly reporting pressure.
“This timing gives Flexjet control and capital without the turbulence of public markets,” said Michael Ashley Schulman, CIO at Running Point Capital Advisors. He noted the firm’s failed SPAC experience as a cautionary tale: “SPACs can be like flying at 41,000 feet—exhilarating until the oxygen masks drop.”
Flexjet, owned by Directional Aviation, plans to use the capital to grow its fleet—particularly larger jets for international service. It recently signed a $7 billion deal with Embraer for 182 Phenom and Praetor executive jets, with an option for 30 more, potentially increasing Embraer’s backlog by 26% to $28.7 billion, according to JPMorgan.
Founded three decades ago and based in Cleveland, Ohio, Flexjet offers fractional aircraft ownership, leasing, and jet card programs. Jefferies, Morgan Stanley, and Goldman Sachs advised on the financing.
The Financial Times was first to report the deal.
Source: Reuters
