Luxaviation signs strategic agreement with China Minsheng Investments


Lux Aviation signs agreement with China Minsheng Investment

Luxaviation Group has signed a strategic cooperation agreement with China Minsheng Investments (CMI), a Chinese fund manager.

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Luxaviation Group has bought four large European operators in the last year and had attempted to acquire an Asian operator. It is also rumoured to be working on buying a large international business jet operator. The agreement could see give Luxaviation easier access to capital. In a statement China Minsheng Investments said that Luxaviation’s managed fleet would soon grow from 100 jets to 200 jets.

Established and registered in Shanghai during 2014, China Minsheng Investments is one of the largest private investments companies in China. It’s made up of 59 private enterprises across China, and has a registered capital base of 50 billion Yuan ($8 billion)

China Minsheng Investments is also the largest shareholder in Minsheng International Jet paying $194 million for a 61.25% stake in December 2014. Minsheng International Jet was previously part of Minsheng Financial Leasing. It moved into operations when it acquired an aircraft operator’s certificate by buying the business jet part of Beijing operator CITIC. It bought Hong Kong aircraft manager Business Aviation Asia in December 2014.

In February 2015 China Minsheng Investments closed its first European deal with a $1.5 billion investment into a new financial district in London. It plans to develop land across the river from London City Airport and create London’s third financial district, and the second in London’s Docklands. The projects developers, Advanced Business Park (ABP), say that they will target Asian businesses looking to open European headquarters in London.

In 2011 Luxaviation acquired a majority stake in German operator Fair Jets, in June 2013 it acquired Belgian operator Abelag, in 2014 it acquired French operator Unijet, in May 2014 it acquired London Executive Aviation, and it closed off 2014 with the purchase of Portuguese operator Masterjet.

It’s largest purchase came in May 2015 when Luxaviation announced that they had completed the purchase of Execujet.

With the purchase complete, Luxaviation because the second largest private jet operator in the world, coming second to NetJets.