Wheels Up Seeks Emergency Funding, According to Report

Part 135 fractional operator Wheels Up is apparently seeking new sources of funding to parlay a worsening cash situation.

The on-demand air charter company Wheels Up had a significant change in leadership earlier this summer. [Credit: Wheels Up]

In a report Tuesday via Bloomberg News, the Part 135 operator Wheels Up is apparently seeking new emergency sources of funding to parlay a worsening cash situation.

In a statement posted within the story, a Wheels Up representative said: “As previously disclosed, Wheels Up is evaluating strategic options to transform our business in close coordination with our financial stakeholders, industry participants, and advisors. Our priority remains continuing to deliver an extraordinary experience for members, and doing that safely, reliably and on-time.”

Wheels Up soared high last year as the largest Part 135 operator in the U.S., and it has attracted marquee investors along the way—and joined pilot development programs such as Delta's Propel, and ATP Flight School. However, the fact that the New York-based company has lost money each quarter since going public has led to recent shake ups in leadership at the company, and moves to focus in on the core charter business.

The company's current stock price is at $2.40 [NYSE:UP] as of press time. Wheels Up will release its second quarter financial results in an earnings call on Wednesday, at 10 a.m. EDT. FLYING has reached out to the company for comment.

Based in Maryland, Julie is an editor, aviation educator, and author. She holds an airline transport pilot certificate with Douglas DC-3 and CE510 (Citation Mustang) type ratings. She's a CFI/CFII since 1993, specializing in advanced aircraft and flight instructor development. Follow Julie on Twitter @julieinthesky.

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