Sumitomo Corporation, SMBC Aviation Capital, Apollo and Brookfield to Acquire U.S.-Based Aircraft Leasing Company Air Lease CorporationSumitomo Corporation-invested aircraft leasing companies rank among the world's largest by fleet size

Sumitomo Corporation (Head Office: Chiyoda-ku, Tokyo; Representative Director, President and Chief Executive Officer: Shingo Ueno) has reached an agreement, together with SMBC Aviation Capital Limited (Head Office: Dublin, Ireland; CEO: Peter Barrett; hereinafter "SMBC Aviation Capital"), an aircraft leasing company under Sumitomo Corporation's investment through Sumitomo Mitsui Finance and Leasing Company, Limited. (Head Office: Chiyoda-ku, Tokyo; President: Tetsuro Imaeda; hereinafter "SMFL"), Apollo managed funds (hereinafter "Apollo") and Brookfield, to acquire all shares of U.S.-based aircraft leasing company Air Lease Corporation (hereinafter "ALC"). The total acquisition price is expected to be approximately US$ 7.4 billion (approx. 1.0878 trillion yen). Subject to obtaining the necessary approvals from relevant authorities, the acquisition is scheduled to be completed in the first quarter of FY2026. Following completion, Sumitomo Corporation's shareholding in ALC will be 37.505%, and the company's new name is expected to be Sumisho Air Lease Corporation (hereinafter "Sumisho Air Lease").
Under its current Medium-Term Management Plan, Sumitomo Corporation has been allocating management resources to strengthen businesses with competitive advantages in order to realize growth centered on its strengths. This acquisition aims to further expand the earnings base and accelerate growth in the aircraft leasing business, which is one of our core growth pillars.

Following the temporary decline in air traffic demand due to the COVID-19 pandemic, demand has recovered steadily. According to the International Air Transport Association (IATA), global air passenger traffic in 2024 exceeded 2019 levels by 3.8%, marking an all-time high for annual air passenger traffic. Average growth of 3.8% per year is expected through 2043, and the aircraft leasing market is anticipated to expand further in line with rising demand.

ALC is a leading aircraft leasing company, with a high-quality portfolio centered on new-tech aircraft. Following this transaction, SMBC Aviation Capital will service the majority of Sumisho Air Lease's fleet, significantly expanding its serviced aircraft portfolio. Through this transaction, Sumitomo Corporation Group will achieve greater scale and profitability, positioning our aircraft leasing business as one of the largest in the world by number of aircraft owned and serviced, strengthening its industry position and competitive advantage.

Sumitomo Corporation's aviation business began with trading in the 1980s and expanded into leasing in the 1990s. Since the 2000s, the company has established and acquired leasing companies worldwide. In 2012, it co-established SMBC Aviation Capital with Sumitomo Mitsui Banking Corporation and SMFL. In addition to aircraft leasing, Sumitomo Corporation is also active in related areas such as engine and helicopter leasing. Moving forward, Sumitomo Corporation will maintain its position as a global top player in aircraft, engine and helicopter leasing, contribute to the maintenance and development of global transportation infrastructure, and support the entire lifecycle of aircraft through initiatives including parts reuse and sustainable aviation fuel (SAF), contributing to the realization of a circular economy.

[Overview of ALC]

Related Information:  Major Investment Project Briefing (Sep. 3rd, 2025) Presentation Material