The world’s second-largest private jet operator, Flexjet, has raised $800 million in a landmark funding round led by L Catterton, a private equity firm backed by luxury goods giant LVMH.
The deal marks the largest capital raise in private aviation history and values Flexjet at approximately $4 billion, according to sources familiar with the transaction.
The Cleveland-based company, known for its luxury fleet and appearance in HBO’s Succession, is capitalising on surging demand for private air travel, particularly among younger ultra-wealthy individuals in the tech and crypto industries.
“We’ve seen a tremendous influx of entrepreneurs this year—from tech to bitcoin—who’ve rapidly accumulated wealth and are seeking premium travel options,” said Kenn Ricci, Flexjet’s chairman, in an interview with the Financial Times.
The funding will support Flexjet’s expansion plans, including the addition of larger aircraft and the enhancement of its luxury offerings. The company is exploring collaborations with LVMH to design bespoke cabin interiors as it targets a younger demographic. The average age of Flexjet customers has dropped to 58, down from 62 in 2019.
Other investors in the round include KSL Capital Partners and the J Safra Group.
Flexjet operates a fleet of over 300 business jets, including Gulfstreams, and offers fractional ownership services. The firm generated $2.6 billion in revenue in 2024—up more than 50 per cent from 2021—and posted earnings before interest, tax, depreciation and amortisation of $390 million last year, with projections of $425 million in 2025.
The investment round follows the company’s decision to abandon plans for a SPAC listing in 2022, which would have valued Flexjet at $3.1 billion.
According to AeroDynamic Advisory, the global market for super-prime private jets reached $22.7 billion in 2024, reflecting a 7 per cent rise from the previous year. Private jet deliveries rose to 764 units last year, with further growth expected in 2025.
Ricci noted the changing preferences of younger wealthy travellers: “It’s funny—we think of Generation X as frugal, the Uber and Airbnb crowd. But that doesn’t apply to aircraft. They want to fly farther, to places like London and Dubai, in bigger jets.”
Flexjet has experienced a tenfold increase in flights to Middle Eastern destinations such as Dubai and Jeddah since 2021, as high-end travel demand in the region continues to grow.
As part of the deal, 25 per cent of the new investment will be paid out in dividends to existing shareholders, sources said. One insider added that Flexjet had not been actively seeking new capital but was approached by L Catterton, which had identified private aviation as a key investment opportunity.
