Flexjet raises $800m in private jet funding led by LVMH-backed firm
Flexjet, the world’s second-largest private jet operator, has secured $800 million in a record funding round led by L Catterton, a private equity firm associated with luxury goods powerhouse LVMH.This transaction represents the largest fundraising effort in the history of private aviation and values Flexjet at roughly $4 billion, as per sources acquainted with the deal.
The Cleveland-based firm, noted for its luxurious fleet and featuring in HBO’s Succession, is taking advantage of the rising demand for private air travel, especially among younger ultra-wealthy individuals in the technology and cryptocurrency sectors.
Kenn Ricci, Flexjet’s chairman, remarked in an interview with the Financial Times, “This year has seen an extraordinary surge of entrepreneurs—from tech to bitcoin—who have quickly garnered wealth and are looking for superior travel solutions.”
The investment will facilitate Flexjet’s growth ambitions, which include acquiring larger aircraft and enhancing its luxury services. The firm is considering partnerships with LVMH to create custom cabin interiors, aiming at a younger audience. The average age of Flexjet customers has decreased to 58, from 62 in 2019.
Other participants in the funding round comprise KSL Capital Partners and the J Safra Group.
Flexjet maintains a fleet of over 300 business jets, including Gulfstream models, and provides fractional ownership services. In 2024, the company generated $2.6 billion in revenue—an increase of over 50 percent since 2021—and recorded earnings before interest, tax, depreciation, and amortization of $390 million last year, with projected earnings of $425 million in 2025.
This round of investments comes after the firm’s decision to forgo 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, marking a 7 percent increase from the previous year. The delivery of private jets rose to 764 units last year, with additional growth anticipated in 2025.
Ricci remarked on the evolving preferences of younger affluent travelers: “It’s interesting—we usually think of Generation X as being economical, akin to the Uber and Airbnb users. However, this doesn’t hold true for aircraft. They prefer to travel longer distances, to destinations such as London and Dubai, in larger jets.”
Flexjet has seen a tenfold increase in flights to Middle Eastern locations like Dubai and Jeddah since 2021, reflecting the heightened demand for luxury travel in that area.
As part of the agreement, 25 percent of the new investment will be distributed as dividends to current shareholders, according to sources. An insider mentioned that Flexjet had not actively sought additional funding but was approached by L Catterton, which recognized private aviation as a pivotal investment opportunity.
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