Flexjet Plans SPAC IPO Valued at $3.1 Billion

The deal to take Flexjet public through a SPAC IPO is valued at $3.1 billion, which the company says is nearly 11 times the $288 million adjusted earnings expected for 2022.

Michael Wildes

Wednesday, October 12, 2022 at 02:19 PM ET

Verified

The deal to take Flexjet public through a SPAC IPO is valued at $3.1 billion, which the company says is nearly 11 times the $288 million adjusted earnings expected for 2022. [Courtesy: Flexjet]

Key Takeaways:

Flexjet, a fractional and on-demand private aviation operator, is going public through a $3.1 billion merger with special purpose acquisition company Horizon Acquisition Corporation II (HZON), with its shares to trade as "FXJ" on the NYSE.
Expected to close in Q2 2023, the deal's proceeds will fund Flexjet's aggressive expansion of its fleet and operational footprint, including MRO facilities and a private terminal.
The company emphasizes its strong growth, projected $288 million adjusted earnings for 2022, a diverse subscription-based service model, and a high 97 percent customer retention rate as key drivers for future market share expansion.

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Fractional and on-demand operator Flexjet is going public by merging with Horizon Acquisition Corporation II (NYSE: HZON), a special purpose acquisition company, or SPAC. When the deal closes—as expected in the second quarter of 2023—Flexjet will be listed on the NYSE under the ticker symbol “FXJ.”

The deal is valued at $3.1 billion, which the company says is nearly 11 times (10.8X) than the $288 million adjusted earnings expected for 2022. When the deal closes, the Ohio-based company said it would use the proceeds to continue growing its fleet and operational footprint, which includes MRO facilities and a private terminal.