Ohio-based Jet Edge International has raised an additional $75 million of funding from investment company KKR. The new funding expands KKR's total credit and equity investments in Jet Edge to approximately $265 million over the past year.
Following a $150 million credit facility in June 2021, KKR has continued investing in Jet Edge amid historic demand for its direct-to-consumer Reserve Membership programme. Jet Edge will utilise the funding to further expand the company's Gulfstream and Challenger fleet.
“With KKR support, Jet Edge has grown the Reserve Membership programme to record numbers,” comments CEO Bill Papariella. “KKR's most recent investment in Jet Edge speaks of its confidence in our mission to deliver scaled private aviation solutions with industry-leading service and new capital to support those efforts with continued fleet growth.”
Jet Edge has 20 additional Gulfstream and Challenger aircraft slated to be delivered in the first half of this year in addition to the 27 delivered in 2021, bringing its total fleet to 95 aircraft.
The initial funding was used to support the acceleration of the company's broad infrastructure, digital initiatives and Reserve Membership, and came as Jet Edge rolled out its AdvantEdge charter management platform nationwide. This platform was aimed at optimising the inefficiencies found in existing ownership and charter management procedures by simplifying and enhancing the financial predictability for whole ownership of large cabin and super-midsize aircraft with a time-based model. The financing was also used to develop technology to support clients, invest in marketing and talent, and to accelerate the progress of business lines.
Then in September last year, KKR invested another $40 million to support the growth of the Reserve programme and fleet expansion, as well as advances in technology and infrastructure such as optimised scheduling systems, AI-based fleet efficiency programmes and a mobile app.
KKR director Patrick Clancy adds: “In a challenging environment, the Jet Edge team is executing on its strategy and has delivered impressive growth for the business in 2021 while maintaining a disciplined operating platform that puts customers first.”