Airshare today announced that it has signed a Letter of Intent to purchase Wheels Up's aircraft management business. Once signed, the deal is expected to close in the third quarter, subject to customary approvals and closing conditions.
"Our management team has worked diligently to establish a strong foundation for us to intelligently grow the company, and this potential acquisition is a direct result of those efforts," said John Owen, President and CEO of Airshare. "Aircraft management has become a core source of revenue for Airshare. Adding aircraft capacity and valuable owner relationships to our rapidly expanding managed fleet positions us very well for the future."
Wheels Up Chairman of Operations Dave Holtz said the company is looking forward to working closely with Airshare through the process as a proven operator with a strong record of success in the aircraft management space.
"Airshare has our same dedication to the customer and focus on extraordinary service, and we believe this will be a great destination for our managed fleet and team," Holtz said. "As we looked for a strong partner, Airshare's commitment to aircraft management and overall customer experience stood out."
Airshare, headquartered in Overland Park, KS, is one of the fastest growing companies in private aviation. Over the past 23 years, Airshare has offered a full suite of private aviation solutions, including their revolutionary days-based fractional ownership and EMBARK jet cards, aircraft management, charter services and third-party maintenance.
Airshare has significantly extended its geographic footprint due to customer demand, including recent expansion into Chicago and South Florida. With this potential acquisition, Airshare would have aircraft management customers nationwide, setting the stage for faster growth in aircraft management, fractional and charter programs and continuing the company's long-term expansion plans.
"One aspect that sets us apart from other private aviation companies is the access Airshare customers have to our complementary services," said Owen. "If interested, aircraft management customers can generate revenue by chartering their aircraft to our established base of fractional and charter customers. We also have many aircraft owners who own fractional shares or EMBARK jet cards to provide them with supplemental lift. We're excited for every aircraft owner to experience everything Airshare has to offer."
Foulston Siefkin LLP is serving as legal counsel to Airshare. Jefferies, LLC is acting as the exclusive financial advisor and Kirkland & Ellis LLP is serving as legal counsel to Wheels Up.
ABOUT AIRSHARE
Airshare fits the way you fly. Founded in 2000 and headquartered in Overland Park, Kan., the company offers a holistic suite of private aviation solutions including fractional ownership, jet cards, aircraft management, charter services and third-party maintenance. Airshare operates a fleet of super-midsize and light jets within their fractional and EMBARK jet card programs to customers across the United States, including recent expansion into Florida. The company provides aircraft management and charter services nationwide, while also performing comprehensive maintenance services for third-party aircraft. Airshare has received IS-BAO Stage 3 and ARGUS Platinum designations, meeting the highest international standards for safe flight operations.