Wheels Up Gets NYSE Warning, Closes $105M Jet Sale-Leaseback
US-based private aviation operator Wheels Up has received a notice from the New York Stock Exchange warning that it is no longer in compliance with the exchange’s minimum average share price requirement of USD 1. The notice, issued on December 17, gives the company six months to regain compliance.
The NYSE notification does not immediately affect the listing or trading of Wheels Up’s common stock. The exchange has provided a standard cure period during which the company may restore compliance through share price improvement or corporate actions. Wheels Up previously faced a similar situation in April and successfully returned to compliance in June after executing a reverse stock split.
Unless compliance is restored through other means, Wheels Up has indicated it may pursue another reverse stock split. Shareholder authorization for such an action remains valid through the company’s 2026 annual meeting, although no approval has yet been granted by the board of directors. The company said it continues to evaluate its options while monitoring market conditions.
Separately, Wheels Up announced on December 22 that it has completed a major sale-and-leaseback transaction involving 10 aircraft acquired during the fourth quarter of 2025. The agreement was reached with an institutional capital provider and is valued at approximately USD 105 million. The aircraft included in the transaction comprise three Bombardier Challenger 300 jets and seven Embraer Phenom 300 aircraft.
Of the total proceeds, approximately USD 65 million will be used to repay outstanding debt under Wheels Up’s revolving equipment notes facility. The remaining USD 40 million will be added to the company’s balance sheet as net cash proceeds, strengthening liquidity and providing additional financial flexibility.
Wheels Up said the cash inflow and incremental borrowing capacity resulting from the transaction will support further fleet investments in 2026. The company plans to continue acquiring additional Challenger 300 series and Phenom 300 family aircraft as part of the broader fleet modernisation strategy unveiled in late 2024. That plan focuses on simplifying the fleet, improving reliability, and reducing operating complexity across its managed and owned aircraft portfolio.
The combined developments highlight Wheels Up’s efforts to stabilise its financial position while continuing to reshape its fleet and operating model. While the NYSE notice underscores ongoing pressure on the company’s share price, the completed sale-leaseback transaction provides near-term liquidity and supports longer-term fleet renewal objectives as the private aviation market continues to adjust to shifting demand and capital conditions.
Related News: https://airguide.info/category/air-travel-business/airline-finance/
Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com