ITOCHU Acquires 50% Stake in Aviation Capital Group

ITOCHU Corporation will acquire a 50 percent stake in United States-based aircraft lessor Aviation Capital Group for approximately $1.946 billion, establishing a joint management structure with current owner Tokyo Century Corporation.

The transaction, confirmed in an August 3, 2026, press release, elevates ITOCHU’s position in the commercial aviation sector by integrating the world’s ninth-largest aircraft lessor into its portfolio. The move follows a weekend of media speculation regarding the impending deal.

Structuring the joint venture and financial commitments

To execute the partnership, ITOCHU will purchase a 50 percent equity interest in TC Skyward Aviation U.S., Inc., a wholly owned subsidiary of Tokyo Century that serves as the holding company for Aviation Capital Group (ACG). The companies expect to finalize the ACG investment during the third quarter of fiscal year 2026.

Alongside the direct investment in the leasing firm, ITOCHU will subscribe to 10.0 billion yen of Bond-Type Class Shares issued by Tokyo Century. This secondary financial commitment is scheduled for completion in the second quarter of fiscal year 2026.

The official announcement followed a brief period of market uncertainty. On July 31, 2026, Japanese media outlets reported the impending transaction. ITOCHU initially issued a statement early on August 3 acknowledging the reports but stating no formal decision had been reached, before officially confirming the Acquisitions parameters later that same day.

Expanding ITOCHU’s aerospace footprint

Established in 1989, ACG maintains a global footprint, leasing Commercial-Aircraft to 90 Airlines across 50 countries. The transition to a 50:50 joint management structure with Tokyo Century provides ACG with expanded capital backing from two major Japanese conglomerates.

For ITOCHU, the acquisition represents the culmination of a multi-year strategy to build an integrated aircraft value chain. The corporation currently manages a portfolio of more than 90 aircraft and engines.

The ACG Investments accelerates a sustained pattern of aerospace expansion for the Tokyo-based company. In 2024, ITOCHU invested in Ireland-based Killick Aerospace Limited to grow its used aircraft parts and original equipment manufacturer distributor businesses. The following year, the company established IC Aero Co., Ltd. to specialize in aircraft leasing within the Japanese domestic market. Most recently, ITOCHU invested in Abu Dhabi-based Sirius Aviation Capital Holdings Limited, an aviation investment manager focused on mid-life aircraft operating leases.

AirPro News analysis

We view ITOCHU’s $1.946 billion entry into ACG as a definitive shift in the global aircraft leasing landscape, signaling a strong appetite among Japanese trading houses for top-tier aviation assets. By partnering with Tokyo Century rather than building a competing global lessor from the ground up, ITOCHU immediately secures a top-ten market position and access to ACG’s established airline relationships.

When viewed alongside the company’s recent investments in parts distribution through Killick Aerospace and mid-life leasing through Sirius Aviation Capital, this acquisition completes a comprehensive aerospace portfolio. We expect this joint venture will provide ACG with the robust capital foundation required to compete aggressively for sale-and-leaseback transactions and direct Manufacturers Orders in a constrained global supply environment.

Sources: ITOCHU Corporation Press Release