Itochu to acquire 50% of Aviation Capital Group for $1.95bn by November
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Japan's Itochu Corp. will pay $1.95 billion for a 50% stake in U.S.-based aircraft lessor Aviation Capital Group, with the deal expected to close in November. Tokyo Century will retain the other 50% under a joint ownership and management structure.
The Deal
Itochu, the Japanese trading house, will acquire 50% of TC Skyward Aviation US, the Tokyo Century-owned entity that controls California-based Aviation Capital Group (ACG). The companies signed an initial agreement on August 3 and expect to finalize terms later this month, with the transfer targeted for November. The transaction, valued at $1.95 billion, remains subject to regulatory approvals and other closing conditions. Tokyo Century, which has owned ACG since 2019, will retain joint ownership and management with Itochu.
ACG's Fleet
As of end-2025, ACG managed 446 aircraft, comprising 278 owned, 33 managed and 135 on order. The portfolio is 94% narrowbody, including Airbus A320neo and Boeing 737 MAX families, with an average age of 5.4 years. The lessor serves 85 airlines across 50 countries, with customers including United Airlines, Air France, WestJet, Wizz Air, Air India Express and Royal Air Maroc. ACG ranked ninth among global lessors by fleet size.
Itochu's Aerospace Push
Itochu plans to use ACG as its main platform for aerospace expansion, targeting increased new-aircraft leasing, aircraft trading and acquisitions in adjacent areas such as maintenance, engine leasing and used parts. The company already holds aviation investments in Japan, the United States and Ireland, and acquired a stake in Irish parts supplier Killick Aerospace in 2024. Tokyo Century said bringing in Itochu will give ACG more capacity to grow and compete with larger rivals. Both companies aim to move ACG into the top five global lessors as industry consolidation accelerates.
What's Next
The companies expect to sign a final agreement later in August and close the deal by November, pending regulatory clearance. It remains to be seen whether ACG can reach the top five lessors amid fierce competition and consolidation in the aircraft leasing market.
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Itochu to acquire 50% of Aviation Capital Group for $1.95bn by November
