Daiwa Securities Group plans to acquire a 50% stake in Airborne Capital Japan, marking its entry into the aircraft leasing market as global air travel recovers from pandemic lows, Nikkei reported.
The Japanese financial firm will invest several hundred million yen in the deal, expected to close in January. The unit will be rebranded as Daiwa Airborne and focus on narrow-body aircraft leasing arrangements with purchase options for investors.
The move follows CEO Akihiko Ogino’s push to expand wealth management offerings. While rival Nomura Holdings already operates in this space through its Nomura Babcock & Brown unit, Daiwa sees untapped demand among high-net-worth clients seeking alternatives to traditional investments.
Aircraft leasing has gained appeal as returns outpace real estate investments. The sector now accounts for nearly 50% of the aircraft market, with narrow-body lease rates jumping over 20% since 2019.
Industry forecasts support the timing – Japan Aircraft Development Corp. projects global passenger demand will more than double by 2043 compared to pre-pandemic levels, suggesting sustained growth in aviation-linked investments.
The deal positions Daiwa to compete with other Japanese firms in the space, including SBI Leasing Services.
