On Thursday, Airborne Capital, the Dublin, Ireland-based aircraft leasing and investment firm that manages around $1 billion in aircraft assets through partnership with more than 200 aircraft and investment industry stakeholders around the world, announced that it has launched a joint venture with Mercuria Investment, the $2 billion Tokyo-based multi-strategy fund that began operations in July of this year.
The new venture, to be called “Mercuria Airborne Capital,” will focus on the aviation finance market in Japan. Specifically, the venture will provide Airborne with increased access to Japanese aviation investors, while enabling Mercuria to expand its expertise in cross-border alternative investments, namely among Japanese investors seeking bespoke aviation investments.
The partners described the venture as “a bridge between the specific needs of Japanese aviation investors and the changing dynamics in the global aviation market.” Despite the challenges posed by covid-19, the companies say, aircraft investment “continues to provide attractive investment and yield opportunities to investors worldwide,” and they have established the venture in anticipation that the role of institutional investors in the aviation leasing industry will grow at a faster pace.
“This joint venture is an exciting step for Mercuria and will broaden the range of international alternative investment opportunities we can offer our clients,” Mercuria CEO Toshihiro Toyoshima said. “The business marries Airborne’s global aviation finance expertise with our strong client base and investment pedigree.”
“We are delighted to partner with Mercuria and expand on our already successful operations in Japan,” added Airborne Capital CEO Ramki Sundaram. “Mercuria Airborne Capital will offer institutional investors in Japan access to a growing range of attractive investment opportunities in the global aviation finance sector.”
Mercuria’s major shareholders include the Development Bank of Japan, Itochu Corporation, and Sumitomo Mitsui Trust Bank. According to the firm, its its mission is to identify unique investment opportunities “transcending all boundaries such as geographical, mental and generational borders and focusing on investment in growth areas and growth potential around the world based on Japan’s strengths.”
