VistaJet to pursue organic growth, Thomas Flohr confirms investment banks advising on 'optionalities'

Private Jet Card Comparisons reported that Vista Global's chairman Thomas Flohr has said the company will grow organically rather than through acquisitions, and confirmed it has retained investment banks to advise on its strategic options.

Flohr made the comments in an interview with Bloomberg's Paul Allen, responding to earlier Bloomberg reporting that the company was preparing for a possible IPO. "The company has retained investment banks to advise it on its optionalities, and that's what is currently being worked on with the investment banks," Flohr said, adding: "Until further notice, we'll come back if there's any news breaking on that."

Vista Global is the parent company of VistaJet and XO. For VistaJet customers on existing jet card subscriptions, the shift away from acquisition-focused strategy suggests the company's near-term operational model is stabilising rather than expanding through purchase of competitor fleets, though no changes to existing terms or pricing have been reported.

Demand from 'borderless billionaires' driving growth

Flohr attributed the company's expansion to a new category of frequent international traveller. "When we talk about the borderless billionaires, it's really the the tech industry, it's the it's the finance industry driving that growth, and we're seeing a lot of corporate demand," he said, adding that deals ultimately require face-to-face meetings at remote locations.

Demand for VistaJet's subscription products is particularly strong. Flohr said: "Demand is really at the strongest level since the post-COVID days." The company offers the Program for flyers needing over 50 hours per year and VJ25, starting at 25 hours per year. Both have minimum terms of three years.

Asset-light model gaining acceptance globally

Flohr credited VistaJet's growth partly to expanding acceptance of asset-light private jet access. "There is this transformational development of asset-light being much more accepted. If you do a subscription with Vista, it's (an operating expense) versus going to the board and asking for a capex investment into a jet, and that trend is strong," he told Bloomberg.

The shift towards subscription-based access over fractional ownership or charter is accelerating worldwide. Flohr noted that asset-light adoption, which historically concentrated in Western markets, is now expanding globally. "It used to be maybe more in the Western world. Now it's everywhere around the globe, and that's really driving the subscription model versus the full or fractional aircraft model."

It is unclear from available reporting what specific strategic options Vista Global is evaluating with its retained investment banks, or when the company may announce any decision on those options.