Key facts
- Itochu plans to invest $1.9 billion to acquire a 50% stake in Aviation Capital Group (ACG).
- ACG is a U.S. aircraft lessor and a subsidiary of Tokyo Century.
- The investment aims to expand Itochu's aircraft leasing business.
- Air passenger demand has recovered and surpassed pre-pandemic levels.
- The global fleet of passenger aircraft is projected to grow significantly by 2043.
Japanese trading house Itochu is set to invest approximately 300 billion yen, equivalent to $1.9 billion, to acquire a 50% stake in Aviation Capital Group (ACG), a prominent U.S. aircraft lessor and a subsidiary of Tokyo Century. This strategic move aims to bolster Itochu's presence in the aircraft leasing sector, which is experiencing a resurgence driven by recovering air passenger demand and a persistent global shortage of jets.
Itochu has been actively expanding its aerospace business. In May 2025, the company established a new wholly-owned subsidiary, IC Aero Co., Ltd., to enhance its aircraft leasing operations. This follows an earlier investment in 2024 into Killick Aerospace Limited, focusing on the end-of-life aircraft teardown and recycling market, as well as engine leasing. These initiatives underscore Itochu's commitment to building a comprehensive aircraft value chain, from new production to retirement and recycling.
The global aircraft leasing market is poised for growth, with projections indicating a substantial increase in the worldwide passenger aircraft fleet by 2043. Currently, leased aircraft constitute about half of all operational passenger aircraft globally. Itochu's investment in ACG is expected to leverage its existing expertise and reinforce its procurement, sales, and management systems to cater to a growing demand for leasing products from airlines both in Japan and internationally.