Key facts
- Itochu will acquire a minority stake in IAG Engine Tech.
- IAG will retain a majority shareholding through Iberia.
- IAG Engine Tech will focus on third-party aftermarket work.
- Operations are set to begin in Madrid in early 2027.
- The deal is expected to be completed by early 2027.
Japanese trading house Itochu Corp. is set to acquire a minority stake in IAG Engine Tech, a newly established aircraft engine maintenance unit of International Airlines Group (IAG). The agreement, confirmed on October 27, 2026, aims to leverage Itochu's investment capacity and international presence to support the growth of IAG Engine Tech, which will focus on third-party aftermarket services. IAG, through its subsidiary Iberia, will maintain a majority shareholding in the new venture. IAG Engine Tech is scheduled to commence operations in Madrid in early 2027, building on the existing capabilities of Iberia Maintenance. The deal is subject to regulatory approvals and is expected to be completed by early 2027.