The Flexjet Gulfstream G450 plane approaches San Diego International Airport for its landing in San Diego, California on May 9, 2025.
Kevin Carter | Getty Images News | Getty Images
Leading investment group lvmh’s Private Equity Arm has purchased 20% of private jet company FlexJet, and is expanding to travel with the latest push by the luxury industry.
L Catterton, a private equity firm that backed France’s luxury leading LVMH, is leading a $800 million investment in FlexJet, including brand partnerships and collaborations. The investment group also includes affiliates of KSL Capital Partners and J Safra Group. FlexJet will continue to be managed by the directional aviation capital of the parent company.
The deal highlights the rapid expansion into the luxury industry’s experience economy as wealthy consumers increase their spending on travel, meals and special events. LVMH acquired hospitality group Belmond for $3.2 billion in 2018, building the Cheval Blanc and Bulgari Hotel and Resort brands.
According to reports from Bain and Altagamma, global sales of luxury goods fell 2% last year, to 363 billion euros as demand from Z and Chinese consumers fell. However, while luxury hospitality rose 4%, gourmet cuisine and fine dining restaurants spiked 8%, while yachts and private jet sales rose 13%.
For Cleveland-based FlexJet, the deal creates a relationship between the world’s biggest magnificent giants and a portfolio of over 75 coveted brands, from Louis Vuitton and Dior to Dome Perignon and Tiffany.
With the private jet industry becoming increasingly competitive and dominated by industry leader NetJet, FlexJet is becoming more and more like a luxury membership club, aiming to offer luxurious experiences and bespoke service. FlexJet has already partnered with Belmond, yacht maker Ferretti Group and Bentley Motors, and is working with jet interiors and curation events.
“We’ve been trying to move FlexJet into an experiential role,” said Kenn Ricci, FlexJet president and principal of Directional Aviation. “When I think about luxury travel and places today, I keep thinking about the FlexJet community. When I have experience at a hotel, I can get it for a week and get to know what the experience is.
Ricci said the majority of the revenue from the transaction will be spent on expanding and improving FlexJet’s infrastructure. This includes purchasing larger, longer-haul planes to meet the rapidly increasing demand for international travel. The company will also add maintenance facilities and ground handling to build infrastructure overseas. FlexJet will also continue to add and train flight crews through special Cabin Attendant Academy. Approximately 25% of the revenue is used to pay special dividends to shareholders.
Ricci said Flexjet is projecting EBITDA this year from a level more than doubled from $398 million in 2024. The company says its fleet of 318 aircraft is expected to reach 340 by the end of 2025, with more than 2,000 FlexJet members under the fractional and lease program.
Rich said L Catterton approached FlexJet with a potential deal as private equity companies aim to stay ahead of the changing definition of luxury among the wealthy.
“(L Catterton) presented us with some ideas about where they see the future of luxury,” Rich said. “They basically understand that the luxury of the future is time, and they see that on private trips you can regain your time.”
Ricci said details of potential brand partnerships and collaborations have not yet been announced. However, he cited model Flexjet as a partnership with Belmond. This includes special deals and enhanced stays at the company’s luxury hotels in Venice and Rabello, Italy. Marolca, Spain, and elsewhere.
He said the company’s bespoke aircraft cabins, modeled after individually designed rooms in the best hotels, also remained a competitive advantage.
“We don’t have to be the biggest when we face giants like NetJet,” he said. “We want to be a boutique.”
L Catterton is 40% owned by the family offices of LVMH and CEO Bernard Arnault. Manages $37 billion in equity capital across consumer brands BirkenstockThorne and Etro.
Scott Dahnke, global CEO of L Catterton, said in a statement on FlexJet’s history, “It’s one of those things that never settles down to pursuing thoughtful innovation to best meet consumer desires in a unique and exciting market.”
