Wheels Up is in severe financial distress, having received emergency funding from Delta Air Lines and acknowledging "substantial doubt" about its ability to continue operations, which caused its stock to plummet.
To address its financial woes, Wheels Up plans to sell its private jet management business to Airshare, aiming to shed non-core assets and refocus on its core charter business.
This strategic divestment follows consistent financial losses, layoffs, and a leadership change at Wheels Up, while Airshare stands to significantly expand its managed fleet and enhance its customer offerings.
The on-demand Part 135 provider, which reserves prepurchased time on airplanes from charter operators through a membership model, on Wednesday announced that it received emergency funding from Delta Air Lines, which owns one-fifth of the company. It postponed its earnings announcement, which was scheduled for Wednesday morning.
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Jack is a staff writer covering advanced air mobility, including everything from drones to unmanned aircraft systems to space travel—and a whole lot more. He spent close to two years reporting on drone delivery for FreightWaves, covering the biggest news and developments in the space and connecting with industry executives and experts. Jack is also a basketball aficionado, a frequent traveler and a lover of all things logistics.
