- The acquisition of Air Lease Corporation is valued at approximately $7.4 billion.
- Completion is expected in the first quarter of FY2026, pending approvals.
- Sumitomo Corporation will hold a 37.505% share in the new entity, Sumisho Air Lease.
- Global air passenger traffic is projected to grow 3.8% annually through 2043.
Acquisition Details
Sumitomo Corporation, along with SMBC Aviation Capital, Apollo, and Brookfield, has agreed to acquire all shares of Air Lease Corporation for approximately $7.4 billion. The acquisition is expected to be completed in the first quarter of FY2026, subject to necessary approvals.
Ownership and Rebranding
Post-acquisition, Sumitomo Corporation will hold a 37.505% stake in the newly named Sumisho Air Lease Corporation. SMBC Aviation Capital will manage the majority of the fleet, expanding its serviced aircraft portfolio.
Market Context
The acquisition aligns with Sumitomo's strategy to strengthen its aircraft leasing business, a core growth area. Following a temporary decline due to COVID-19, air traffic demand has rebounded. The International Air Transport Association reports that global air passenger traffic in 2024 exceeded 2019 levels by 3.8%, with an average annual growth of 3.8% expected through 2043.
Strategic Expansion
Sumitomo's aviation business, which began in the 1980s, has expanded globally through acquisitions and partnerships. The company is also involved in engine and helicopter leasing, contributing to global transportation infrastructure and supporting aircraft lifecycle initiatives like parts reuse and sustainable aviation fuel.
