KKR investing $40m in Jet Edge International

Global investment firm, KKR has agreed to invest $40m in Ohio-based private aviation firm, Jet Edge International. KKR is making the investment in Jet Edge through its credit funds and accounts focused on asset-based finance. The investment follows KKR’s $150m credit investment in Jet Edge announced earlier this year.

The new investment will support the growth of Jet Edge’s Reserve membership programme and expanding fleet.

Dan Pietrzak, partner at KKR, said: “At a time when the private aviation industry is experiencing historically high demand, the Jet Edge team continues to impress us with its innovative solutions to age-old inefficiencies and strong operational execution.”

Bill Papariella, CEO of Jet Edge, said: “We will continue to invest heavily in technology and back-end infrastructure to enhance the customer experience and help us stay ahead of evolving client demands amid rapid membership growth. This financing speaks to KKR’s continued confidence in our business plan to deliver scaled private aviation solutions and we look forward to being able to provide even more clients unique access to our industry leading fleet across all major markets in the US.”

Jet Edge has seen 1,800% year-on-year growth in new member acquisitions over the past 12 months. The company has also recorded over $100m in membership deposits over the past year.

“We are excited to expand our financing commitment with a preferred equity investment in Jet Edge and look forward to supporting their continued success,” said Patrick Clancy, principal at KKR.

Back in early June, KKR agreed with Jet Edge to provide up to $150m to the firm, in large part, to support its new AdvantEdge charter management system. The platform is aimed at improving the inefficiencies found in the industry’s existing ownership and charter management procedures for ownership of large cabin and super-midsize aircraft, says Jet Edge.

The financing from KKR is also being used to support growth elsewhere in the business, including developing technology to support clients and accelerating the progress of business lines including aircraft sales division, according to Jet Edge Partners.