Wheels Up Modernization Plan Gains Momentum

Wheels Up has advanced its fleet modernization plan through a sale-leaseback transaction covering 10 aircraft and the entry into service of its first Embraer Phenom 300 equipped with Gogo Galileo HDX satellite connectivity.

The company said today that it has struck an agreement with an institutional capital provider to sell three Bombardier Challenger 300s and seven Phenom 300s and lease the aircraft back under long-term operating contracts. Wheels Up will continue to operate the aircraft, providing uninterrupted access for members and customers. The transaction supports the company’s ongoing shift toward an asset-light operating model while enabling planned fleet expansion in 2026.

The sale price is approximately $105 million. Proceeds are expected to be used to repay about $65 million of outstanding debt under the company’s revolving equipment notes facility, with roughly $40 million added to the balance sheet. Wheels Up said the transaction is expected to close before year-end.

Separately, the company confirmed that its first Phenom 300 equipped with Gogo Galileo HDX satellite connectivity has entered service. The milestone marks the start of a fleet-wide upgrade program that will extend into next year. Following FAA approval of the HDX system on the Phenom, Wheels Up expects its first Challenger 300 equipped with the system to enter service early next year.