Weekly Roundup of Private Equity Sector News
In a significant development for both the private aviation and online classifieds sectors, two major announcements have been made.
Flexjet's Record-Breaking $800 Million Fundraising
Led by consumer-focused private equity firm L Catterton, a consortium of strategic investors has made the largest equity investment ever in a private jet company. The investment round, which also saw significant participation from KSL Capital Partners and the J. Safra Group, aims to support Flexjet's transformation, enhance the luxury customer experience, modernize its fleet, and expand exclusive services. Key investors include L Catterton, KSL Capital Partners, and J. Safra Group, all renowned for their investments in luxury, travel, and hospitality sectors [1][2][3].
Following the investment, Flexjet's valuation is approximately $4bn. The deal also includes a provision where 25% of the capital raised will be paid out as dividends to existing Flexjet shareholders.
EQT's Acquisition of Adevinta's Spanish Operations
On a separate note, EQT's EQT X fund has announced its acquisition of Adevinta's Spanish operations. This move reinforces EQT's strategic focus on high-growth consumer internet platforms. The acquired operations include some of Spain's most prominent online classifieds platforms: Coches.net, InfoJobs, Milanuncios, Fotocasa, and Habitaclia.
The acquisition follows a series of digital and tech-focused investments across Europe by EQT. However, it is important to note that this acquisition is separate from the potential deal involving MasOrange, a Spanish telecoms joint venture between private equity firms Cinven, KKR, and Providence Equity Partners, and Orange SA.
Discussions regarding a potential deal for MasOrange are at a preliminary stage, and no final decision has been made regarding the potential exit or buyout of MasOrange by Orange SA. If the deal were to go through, it could exceed €5bn ($5.9bn).
The private equity trio currently owns a 50% stake in MasOrange, while the remaining 50% is held by Orange. Orange is reportedly considering a partial or full buyout of its stake in MasOrange. An indicative valuation for MasOrange is closer to €4bn.
These developments underscore the ongoing interest in both the private aviation and online classifieds sectors, with strategic investors looking to capitalize on the growth potential of these industries.
[1] Private Equity Consortium Makes Largest Ever Investment in Private Jet Company [2] Flexjet Secures $800 Million in Funding Led by L Catterton [3] Historic Moment in Private Aviation: Flexjet Secures $800 Million Investment
- The largest equity investment ever in a private jet company was made by a consortium of strategic investors, led by L Catterton, with participation from KSL Capital Partners and J. Safra Group.
- In the investment round for Flexjet, the aim is to support its transformation, improve the luxury customer experience, modernize its fleet, and expand exclusive services.
- Following this investment, Flexjet's valuation is approximately $4bn, and 25% of the capital raised will be paid out as dividends to existing shareholders.
- EQT's EQT X fund has announced the acquisition of Adevinta's Spanish operations, reinforcing EQT's strategic focus on consumer internet platforms.
- The acquired operations include some of Spain's most prominent online classifieds platforms: Coches.net, InfoJobs, Milanuncios, Fotocasa, and Habitaclia.
- EQT has made this acquisition as part of a series of digital and tech-focused investments across Europe, separate from a potential deal involving MasOrange.
- Discussions regarding a potential deal for MasOrange are ongoing, with Orange SA considering a partial or full buyout of its stake, potentially exceeding €5bn ($5.9bn).
