Jetquity reached an agreement with flyExclusive to provide residual value guarantees for more than $350 million of the fractional ownership provider's Cessna Citation CJ3/CJ3+ business jets, along with additions such as the CJ3 Gen 2.
FlyExclusive CEO Jim Segrave said the collaboration with Jetquity "ensures that fractional owners can invest in our aircraft with confidence, knowing that their investments are protected. We believe it will further strengthen our position" in the market.
Jetquity launched its business model this year to offer financial assurance and clarity on the future values of aircraft. Backed by Middle Eastern sovereign wealth funds, U.S. investment firms, and some of the largest family offices, Jetquity leverages technologies that collect data on key patterns of asset utilization versus valuation in the context of macroeconomic trends to have an accurate assessment of future aircraft residual value. Enrolled aircraft must meet certain quality-of-care standards.
"Our residual value guarantees will provide flyExclusive's clients with a competitive edge and enable them to forecast their financial outlay far more accurately than is possible with today’s market offerings,” said Jetquity CEO Asad Rahman. “At Jetquity, we are committed to delivering innovative and customized solutions to meet the evolving needs of the aviation industry. This partnership is a testament to our dedication to supporting the growth and success of the fractional ownership program with flyExclusive."