Jet Republic Throws Down Gauntlet to NetJets Europe
Jet Republic today announced the launch of a major new European fractional ownership, lease and block charter program and revealed itself as the previously unidentified customer for up to 110 Bombardier Learjet 60XRs (25 of which are firm). Deliveries will begin in October next year and will run at a rate of about one aircraft per month. The start-up operation will be based in Portugal, a country that CEO Jonathan Breeze described as having “an impressive regulatory environment for fractional ownership” and which is already the home aircraft registry for the rival NetJets Europe fleet. Jet Republic is backed by Austria’s Euram private bank and a consortium of its clients and has been launched on a debt-free basis. Fractional, lease and jet-card sales are set to begin on September 29. Shares in the Learjet 60XR will start at one-sixteenth, providing 50 flight hours per year, extending up to a half share with 400 hours. Jet Republic’s 110-aircraft deal is valued at $1.5 billion, which would give each jet a purchase price of just over $13.6 million. A half share will sell for “approximately $7 million,” and shareowners will also pay monthly management fees and hourly occupied rates. Jet Republic’s charter card will offer a variety of light, midsize, large and “global” business jets operated by a group of selected operators.