SMFL and LCI joint venture to acquire lessor Macquarie: Verticon
Partners (L to R): Shinichiro Watanabe, senior managing executive officer, SMFL and Jaspal Jandu, CEO, LCI.
The joint venture between Sumitomo Mitsui Finance and Leasing Corporation (SMFL) and LCI has agreed to buy Macquarie Rotorcraft, the helicopter leasing division of Australian bank Macquarie. The terms of the transaction have not been disclosed.
Macquarie Rotorcraft’s portfolio of about 120 helicopters will be managed by LCI. The Macquarie fleet operates in offshore transport, emergency medical services (EMS), search and rescue (SAR) and utility markets.
The joint venture partners – SMFL LCI Helicopters Limited (SMFLH) – will increase the number of aircraft owned, managed and on order to about 310 units and will “pursue further expansion of its customer base and synergies with its existing businesses”.
SMFL first invested in helicopters in 2020 as part of a joint venture with LCI – an aerospace subsidiary of Libra Group. In 2023, it bought 35% of the operating lessor.
Macquarie Rotorcraft was launched in 2013. It acquired most of the assets of Waypoint Leasing in 2018 for $650m.
SMFL is a joint business between Sumitomo Mitsui Financial Group and Sumitomo Corporation.
The joint venture partners in a statement: “Through this acquisition, we aim to further expand our business and customer bases and establish a strong position in the helicopter leasing industry, where demand is expected to grow.”
Bloomberg was the first to report on the possibility of a sale in December 2024. At the time, the news agency said the Australian bank had placed a $1.2bn price tag on Macquarie Rotorcraft.
News of the proposed acquisition was revealed at the same time as the vertical lift event Verticon in Dallas, Texas.
Meanwhile, in January LCI and SMFL secured $420m of loan facilities from four global financial institutions to fund social projects. The loan facilities have been executed with Sumitomo Mitsui Banking Corporation (SMBC), Mitsubishi UFJ Banking Corporation, Mizuho Bank, and Bank of America. The funds drawn under these facilities will used mainly to buy EMS and SAR helicopters.
