Flexjet Set to Go Public Through Merger with Horizon Acquisition SPAC

US-based fractional business aviation operator Flexjet will merge with Horizon Acquisition Corporation II, a listed special acquisition company (SPAC).

In a press release, Flexjet said that it has entered into a definitive business combination agreement, adding that once the merger is complete, Flexjet will be listed under the FXJ stock ticker.

Horizon Acquisition Corporation II is currently listed on the New York Stock Exchange as HZON.

The transaction, which is expected to be completed in the second quarter of 2023 subject to shareholder and other approvals, values the combined companies at USD$3.1 billion.

“Flexjet’s global presence, aircraft network, and proprietary technology have established the Company as a category leader in private aviation. Eldridge has a long-tenured partnership with this world-class management team and believe that the scale and breadth of Flexjet’s solutions will enable it to continue to capture share in a large and accelerating market,” said Todd Boehly, CEO, CFO and Chairman of Horizon. “I’ve known Kenn and the team for nearly a decade, and their ability to profitably grow Flexjet to what is estimated to be over $2 billion in revenue through an unrivaled product offering and desirable subscription-based business model sets the team apart. We believe this transaction provides Flexjet with ample capital to execute Flexjet’s long-term vision, the ability to continue to serve its loyal customer base, and positions the Company for success in the public markets.”

Flexjet says that the merger will give it access to the capital it needs for further expansion.

“Having capital and currency will position us to expand market share at an accelerated pace in an opportunistic environment,” said Kenneth Ricci, Chairman of Flexjet. “We will parlay our existing profitability and use that as a launch pad to accelerate our growth into the next chapter. We are making this decision at a time when we believe the marketplace is expanding at a more aggressive rate. Additionally, the collective infrastructure necessary to operate this model would be very difficult to replicate. Accumulating the aircraft, customer base, global infrastructure, technology, and most importantly, the culture, would take years, if not decades.”