Wheels Up strikes go-public deal with Aspirational Consumer at $2.1B valuation

Wheels Up Partners is set to become a publicly traded company through a merger with an L Catterton Partners-backed blank-check company in a deal that values the New York-based private jet charter firm at about $2.1 billion, confirming recent reports.

Wheels Up's merger with Aspirational Consumer Lifestyle Corp. is expected to provide the merged entity with gross proceeds of up to $790 million. This includes up to $240 million of cash held in Aspirational's trust account from its IPO.

The merger will also be supported by a $550 million private investment in public equity at $10.00 per share, including commitments from T. Rowe Price, Durable Capital, HG Vora Capital Management, Luxor Capital and other investors.

Existing Wheels Up shareholders will roll 100% of their equity into the new company, which will continue to be led by Wheels Up's existing management. Aspirational Chairman and CEO Ravi Thakran, former group chairman of LVMH South and Southeast Asia and Australia/New Zealand and former managing partner of L Catterton Asia, will join the combined company's board.

Wheels Up expects to have as much as $750 million in cash on its balance sheet to finance operations and to support new and existing business initiatives following closing.

The board-approved deal is expected to close in the second quarter, subject to shareholder approvals and other conditions.

Wheels Up will be the first private aviation platform to be listed on the NYSE, according to a release.

Connaught was financial adviser to Aspirational, while Credit Suisse was financial adviser, placement agent and capital markets adviser to the company. Skadden, Arps, Slate, Meagher & Flom LLP was the company's legal adviser.

Goldman Sachs & Co. LLC, Jefferies LLC and Morgan Stanley & Co. LLC were joint lead financial advisers to Wheels Up, while Arnold & Porter Kaye Scholer LLP was its legal adviser.