XOJet soars with $470M more for private jet time shares
XOJet, the San Carlos, Calif. company that capitalized on the economic downturn by offering a time sharing service for corporate jet travel, has continued its good fortune with a new $470 million round of debt and equity led by TPG Capital. The money, broken down into $100 million in equity and $370 million in debt will be used to buy new or used aircrafts for global trips, the company says, as many as 20 to 25.
Last year, the company raised about $2.5 billion to build out its jet inventory. In addition to TPG, XOJet is also backed by Aabar, the same Abu Dhabi investment firm that bought some of Daimler’s stake in Tesla Motors earlier this year. Ironically, Lehman Brothers also helped chip in the initial $143 million that founded the company in 2007.
XOJet says that demand for its service, especially its cost-efficient alternatives to part-time jet ownership, has only grown as the economy begins to rebound. It retained customers by guaranteeing aircraft availability while also offering cheaper flights than typical charter companies. When all of its planes currently on order come in, its fleet will number more than 100.
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