Jay Z-backed private jet firm JetSmarter raises $105 million at $1.5 billion valuation

Private jet marketplace JetSmarter has raised $105 million in a third round of funding at a $1.5 billion pre-money valuation.

JetSmarter enables you to book idle jets and unused seats via an app in exchange for a membership fee.

New investors in the round include an Abu Dhabi-based growth equity fund; strategic partner JetEdge, the leading large cabin private jet operator; KZ Capital, a London-based venture capital firm; and a Qatar-based private equity fund, among other strategic private investors. Existing investors who also participated include members of the Saudi royal family and musician Shawn “Jay Z” Carter.

The company has also appointed Bradley Stewart, Xojet president and CEO and senior advisor to private equity firm TPG, to its board of directors. This announcement comes off the heels of JetSmarter’s recent partnership with Xojet, to further expand its private jet offerings for members across North America.

JetSmarter has more than 250 employees. The company says it doesn’t have direct competitors, but startups like SurfAir are also trying to disrupt traditional air travel. JetSmarter offers services such as JetShuttle, where members can search for and book a seat on a private jet on an already scheduled route. With JetCharter, members can customize and create their own charter flights.

And with JetDeals, members can book a one-way flight to a new destination city daily.

Over the past 12 months, JetSmarter has significantly expanded its private jet services, with a main focus on increasing its shared, scheduled JetShuttle fights across the United States, Europe, and the Middle East, in New York, Chicago, Fort Lauderdale, Las Vegas, Atlanta, London, Paris, Moscow, Dubai, Milan, and more. This new financing will help JetSmarter grow its JetShuttle network significantly into new cities around the world, including planned expansions into Asia and Latin America.