Sumitomo Corporation, SMBC Aviation Capital, Apollo Managed Funds, and Brookfield have announced that they have reached a definitive agreement to acquire Air Lease Corporation, a leading aircraft lessor founded by Steven F. Udvar-Házy and John L. Plueger with a portfolio primarily comprised of new technology aircraft. Upon closing, Air Lease will be renamed Sumisho Air Lease, a newly established entity. Apollo and Brookfield have agreed to provide capital to support the transaction.
Under the terms of the agreement, Air Lease common stockholders will receive $65.00 per share in cash, representing a total valuation of approximately $7.4 billion, or approximately $28.2 billion including debt obligations to be assumed or refinanced net of cash. The cash consideration represents a 7% premium over Air Lease’s all-time high closing stock price on August 28, 2025, a 14% premium over the volume weighted average share price during the 30 trading day period ended August 29, 2025, and a 31% premium over the volume weighted average share price during the last 12 months’ trading day period ended August 29, 2025.
Sumisho Air Lease’s position as an established aircraft lessor and SMBC Aviation Capital’s industry-leading capabilities bring scale and financial strength to address the fast-evolving and increasingly complex needs of airline customers. Sumisho Air Lease will further benefit from the Sumitomo Corporation and SMBC Aviation Capital’s deep expertise in, and long-standing commitments to, the aviation leasing sector.
Commenting on the deal, the Group CEO, Transportation & Construction Systems Group of Sumitomo Corporation, Takao Kusaka said, “We are honoured to have reached this significant agreement together with SMBC Aviation Capital, Apollo and Brookfield. Through this transaction, we will achieve greater scale and profitability, positioning the Sumitomo Corporation Group’s aircraft leasing business as one of the largest globally in terms of owned and managed aircraft through Sumisho Air Lease’s highly attractive portfolio centered on new tech aircraft. This will further strengthen our industry standing and enhance our competitive advantage. Sumisho Air Lease will be a core part of the Sumitomo Corporation Group’s wider investments in the aviation sphere. Sumisho Air Lease’s inclusion within the shareholder eco-system provides an opportunity to create powerful new synergy.”
Also commenting was the Chief Executive Officer of SMBC Aviation Capital, Peter Barrett who said, “This transaction is transformational for our business and the leasing landscape. Investing in Sumisho Air Lease, purchasing their orderbook, and becoming servicer to the substantial majority of Sumisho Air Lease’s portfolio will enable us to deploy our financial scale and strength to meet the evolving needs of our customers and take a strategic lead in reshaping our sector. In our sector, economies of scale matter. Our industry is evolving at pace and requires significant and diverse pools of capital so that our airline and investor customers can be provided with the products and services they need. As one of the most well-regarded leasing platforms, with a portfolio focused on liquid, in demand, new tech aircraft, Air Lease presents an attractive opportunity for the co-investors.”
