Author: anshika@pembrokeandrye.com

Signing of Agreement for the Acquisition of Macquarie Rotorcraft Limited

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10th March 2025:  Sumitomo Mitsui Finance and Leasing Company, Limited (President: Masaki Tachibana, hereinafter referred to as “SMFL”) and LCI Investment Limited (CEO: Jaspal Jandu, hereinafter referred to as “LCI”）are pleased to announce that their joint venture helicopter leasing company, SMFL LCI Helicopters Limited (“SMFLH”) has entered into an agreement to acquire Macquarie Rotorcraft Limited (“MRL”), Macquarie Asset Management’s helicopter leasing business. The details of the transaction are commercial in confidence.

Established in 2013, MRL is a global helicopter leasing company with a fleet of about 120 leased aircraft that operate in offshore transportation, emergency medical services, search and rescue and utility markets. SMFLH and LCI will increase the number of aircraft owned, managed, and on order to approximately 310 aircraft, and will pursue further expansion of its customer base and synergies with its existing businesses. The newly combined business will be managed by LCI.

SMFL and LCI, an aerospace subsidiary of Libra Group, established a joint venture company SMFLH for helicopter operating leasing in 2020. Subsequently, in 2023, SMFL acquired a 35% stake in LCI, and have achieved steady growth.

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.

【Macquarie Rotorcraft Limited】

Name of companyMacquarie Rotorcraft Limited
Location28 Ropemaker Street, London, United Kingdom
Establishment2013
ShareholderMacquarie Asset Management（100%）
BusinessHelicopter leasing business
Helicopter assetAbout 120 Helicopters

【SMFL LCI Helicopters Limited】

Name of CompanySMFL LCI Helicopters Limited
LocationNorth Dock Two, 93/94 North Wall Quay, Ireland
EstablishmentJune, 2020
ShareholdersSMFL（90%), LCI（10%）
BusinessHelicopter leasing business
Helicopter asset
(Owned)		About 75 Helicopters

【LCI Investments Limited】

Name of companyLCI Investments Limited
Location123 Victora, Street, London, United Kingdom
ShareholdersLibra Group（65%), SMFL（35%）
BusinessHelicopter leasing business
Helicopter asset
(Owned/Managed)		About 150 Helicopters (Including SMFLH Owned)

【Inquiries about business】

Sumitomo Mitsui Finance & Leasing Co., Ltd.Aviation Business Development Dept.MatsutaniTEL 03-6695-3989

【Press Inquiries】

Sumitomo Mitsui Finance & Leasing Co., Ltd.Public Relations & Investor Relations DepartmentYamamotoTEL 03-5219-6334

LCI places seven AW169s for HEMS operations in British Columbia- RotorHub

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LCI has purchased a fleet of seven new EMS-configured Leonardo AW169 helicopters. The aircraft have been acquired as part of LCI’s joint venture with SMFL. They will be leased to Babcock Canada, which will be operating them across British Columbia on a subcontract from Ascent Helicopters on behalf of British Columbia Emergency Health Services (BCEHS).

Following an EMS fit-out carried out by HeliMods in British Columbia, the first aircraft has already been handed over, with the remainder expected to be delivered by the end of January. The arrival of the first aircraft makes Ascent the first Canadian operator of the AW169.

Commenting on the announcement, Nigel Leishman, Chief Commercial Officer of LCI, said: “LCI is honoured to support the important roles that Ascent and Babcock are playing in the expansion of vital EMS operations in British Columbia. This development in our longstanding partnership with Babcock demonstrates how LCI can deliver tailored financing solutions for highly specialised, mission-critical assets such as emergency medical service helicopters, giving maximum flexibility and support to our customers in providing essential operations.”

Meanwhile, Jerry McLean, CEO of Babcock Canada, added: “Babcock Canada is delighted to work with LCI as we expand our aviation footprint into Western Canada. The Leonardo AW169 is a modern, reliable, and mission-ready aircraft that will significantly enhance the critical services Ascent Helicopters will provide to the citizens of British Columbia.”

LCI and SMFL secure $420m of loan facilities for social projects – Helicopter Investor

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Operating lessor LCI and its partner Sumitomo Mitsui Finance and Leasing Co., Ltd (SMFL), have 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 emergency medical services (EMS) and search and rescue (SAR) helicopters.

Alan O’Rourke, chief financial officer (CFO), LCI said: “We salute the pioneering role played by the four leading financial institutions in committing funds which can be used for social projects.” LCI is proud that the lessor and its partners are “collectively making a real and tangible difference in supporting social projects and saving lives”, added the CFO.

LCI and SMFL launched a Social Loan Framework under their joint venture in November 2023.  The framework was established in accordance with the internationally agreed Social Loan Principles developed in 2023 by the Loan Syndications and Trading Association (LSTA). It holds the highest rating of Social 1(F) from the Japan Credit Rating Agency.

The framework reflects SMFL’s long term commitment to the UN’s Sustainable Development Goals (SDGs) as part of the company policy ‘The SMFL Way’, according to the lessor. “Helicopters in EMS and SAR support local communities and align with ‘Good health and well-being’ (SDG3), ‘Industry, innovation and infrastructure’ (SDG9) and ‘Sustainable cities and communities’ (SDG11),” it said.

Meanwhile, last month LCI has placed one Airbus H145D3 with helicopter services provider NHV Group to be deployed on marine pilot transfer (MPT) operations with the Dutch pilot organisation.

HI Uplift: Helicopters are ‘powerful force for good’ Helicopter Investor

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Helicopters are “a unique and powerful force for good” and the industry can do more to promote their many benefits. That’s the upbeat assessment of Alan O’Rourke, chief financial officer (CFO) of LCI, speaking after the operating lessor revealed it had secured $420m of loan facilities from four global financial institutions to fund social projects.

“They have a capability set, particularly with regards to vertical take-off and landing, and also hover, which simply cannot be replicated elsewhere,” O’Rourke tells Helicopter Investor. “As such, they provide a unique and powerful force for good. Funding social projects that enable mission-critical, life-saving operations is an integral part of LCI’s responsibility programme.”

Emergency medical services

In pursuit of that plan, LCI revealed this week that, together with partner Sumitomo Mitsui Finance and Leasing Co. Ltd (SMFL), it has executed $420m of loan facilities with Sumitomo Mitsui Banking Corporation (SMBC), Mitsubishi UFJ Banking Corporation, Mizuho Bank and Bank of America. The funds drawn under these facilities will be used mainly to buy emergency medical services (EMS) and search and rescue (SAR) helicopters.

More than half LCI’s fleet is already deployed on EMS or SAR missions worldwide. The lessor says the missions align with the UN’s Sustainable Development Goals (SDGs), in particular ‘Good health and well-being’ (SDG3), ‘Industry, innovation and infrastructure’ (SDG9) and ‘Sustainable cities and communities’ (SDG11).

O’Rourke tells us: “Leveraging our position as a conduit between financial institutions, manufacturers, operators and end-users, we are committed to enabling the growth of EMS and SAR operations in the years ahead.”

Profitability and reliability

But how does the profitability and reliability of social projects compare with other sectors of the industry, such as offshore support? “All our work in the EMS and SAR sectors is as robust – both commercially and operationally – as the leasing programmes we deliver in other sectors,” he tells us. “It should be noted that considerable knowledge, experience and financial expertise is required for specialised EMS and SAR helicopters and their associated equipment, and this is an area where LCI is proud of its capabilities.”

Commercial funding and delivery models, such as the one provided by LCI, demonstrate that the public-private provision of social programmes can be done in an efficient, long-term and mutually successful manner, he added.

The lessor remains committed to continuing its social projects as enabled through its helicopter leasing operations. “We have every intention of growing the number of helicopters in our fleet that deliver these life-saving missions,” says O’Rourke.

‘More capable helicopters’

For example, last November LCI bought seven new Leonardo AW169 helicopters, in EMS configuration, for lease to Babcock Canada as part of a move to upgrade critical cover in the region. The helicopters are being placed in LCI’s joint venture with SMFL. 

Speaking at the time, Nigel Leishman, chief commercial officer, LCI told Helicopter Investor: “The emergency medical services market in North America is being upgraded with more capable helicopters, and this is an excellent opportunity for LCI to support the growth of its longstanding partner, Babcock, in Canada.” 

Win friends and influence people

Deals like this offer not just commercial and social project opportunities but also the potential to spread wider awareness of this vital activity. Promoting the role of both the company and the industry in delivering social projects – such as EMS, SAR and firefighting missions (particularly in light of the fatal fires ravaging California) – will help to win friends and influence people well beyond the aviation industry, it believes.

“At a broader level, there is much the helicopter industry can do to promote the unique set of its capabilities, operations and incredibly skilled people,” O’Rourke tells us. “We trust that news of our industry’s collective efforts in mission-critical services can spread beyond it, and into broader aviation circles and even beyond.”

Helicopter lessors cautiously optimistic about oil-and-gas rebound – Vertical Magazine

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With the painful lessons of a decade ago fresh in mind, helicopter lessors appear cautiously optimistic about an oil-and-gas market rebound, though several of the key players are calling for discipline and restraint to avoid another disaster. 

In a roundtable discussion hosted by the Aero Asset market intelligence firm and moderated by former Waypoint Leasing CEO Ed Washecka Dec. 12, major lessors LCI Aviation, Milestone Aviation Group, Macquarie Rotorcraft and start-up lessor GDHF, noted varying degrees of hopefulness. 

“There’s no question the market’s gotten a lot better since Waypoint fell apart,” said Washecka, whose former company filed for bankruptcy in 2018 following the Chapter 11 filing of CHC Helicopter, one of its largest customers. 

The looming question: Will a market rebound coincide with better decision-making all around, or are lessors likely to repeat the mistakes of the past? 

Some are more bullish than others, but several players exhibit a positive outlook. 

“At the moment, supply is limited into many of the markets that we’re active in, and lead times for new deliveries are now 24 months—even longer, in some cases,” said Nigel Leishman, chief commercial officer at LCI. “I think somebody needs to be able to provide helicopters in the near term.” 

“I think we’ve learned our lessons,” Leishman added. “It’s more about just making sure that there’s some discipline out there.” 

The oil-and-gas industry downturn that began in 2014 led to major turmoil for helicopter lessors, some of whom had agreed to customer-friendly contracts that could be cancelled on short notice.  

Operators also parked aircraft during the downturn, and an influx of new aircraft orders contributed to oversupply in the leasing market.  

Despite a recent rebound, some lessors are maintaining a conservative approach, with modest order books and a focus on managing portfolios of existing aircraft.  

“Most of us have been through the worst of the oil-and-gas segment,” said Sebastien Moulin, chief commercial officer at Milestone. 

“I think keeping a modest order book across the industry is probably key, and discipline … is obviously very important.”  

Dublin-based GHDF has a more aggressive approach, targeting a $1 billion fleet portfolio, including an order book of 50 Airbus H160s.  

In the panel discussion, GDHF CEO Michael York defended that stance, saying the previous downturn had an “oversupplied market with a lot of froth and bubble.”  

“I see a different market now,” he said.  

He pointed to a sustained period of few aircraft deliveries in the heavy and super-medium space, leading to what he said is a “very finely-balanced market, very tight.”  

“Lessor fleets are utilized, operator fleets are fully utilized, and … now we’re seeing a healthy, sustainable price being paid for helicopter services that washes through the MROs, the financiers, all the way back to the OEMs.” 

York also pointed to the projected need to replace nearly 200 Sikorsky S-92 heavy helicopters which he says are approaching retirement age, along with about 80 super-medium helicopters, roughly evenly split between Airbus H175s and AW189s.  

“We feel that ecosystem is solid,” he said. “We do know in the next 10 years, those S-92s are going to retire … and that’s pretty mechanical. That will happen. The zero-growth thesis of GDHF is based around this mechanical aging-out reality, and the need for metal. Someone’s got to supply the market.”  

There’s also an apparent shift away from easy-to-cancel contracts. 

“Fortunately, in this market, we’re seeing more discipline from the operators,” said Trey Wade from Macquarie. “I am pleased that not only oil companies, but the operators, they’ve learned their lessons, too. Obviously, all of us have learned some very painful lessons. So things are getting better. We’re still not there yet. But I think the progress is encouraging.” 

As lessors manage their legacy fleets, they’re also looking toward the planned arrival of the Bell 525 Relentless, which secured its first orders early this year as it continued on its certification path.  

“It’s an extraordinarily impressive aircraft, maybe the smartest aircraft out there,” said Wade. “It’s got some stuff that no other super-medium, or even a 92, can do. It is a really impressive machine.” 

While Wade predicts a “natural transition” to super-mediums, some lessors are taking a wait-and-see approach.  

“We follow that [525] program with interest,” said Nigel Leishman from LCI. “The 525 is obviously that next development, but at the end of the day, like any lessor, we’re looking at helicopter types that have large operating bases, multi-mission, proven markets. So it’s going to be very hard to go to our investment committees or shareholders to look at some of these helicopters, which at the moment are very early in the development phase.”  

GLOBAL BANKS FINANCE US$420 MILLION TO LCI AND SMFL JV

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13th January, 2025:  LCI, a leading aviation company, and Sumitomo Mitsui Finance and Leasing Co., Ltd (SMFL), have executed US$420 million of loan facilities that can be used for funding social projects.

The loan facilities have been executed with four global financial institutions: Sumitomo Mitsui Banking Corporation (SMBC), Mitsubishi UFJ Banking Corporation, Mizuho Bank, and Bank of America. The funds drawn under these facilities will principally be used to purchase emergency medical services (EMS) and search and rescue (SAR) helicopters.

Alan O’Rourke, CFO of LCI, says: “We salute the pioneering role played by the four leading financial institutions in committing funds which can be used for social projects.  We are proud that we are collectively making a real and tangible difference in supporting social projects and saving lives.”

LCI and SMFL launched a Social Loan Framework under their JV, the first of its kind for the helicopter leasing sector, in November 2023.  It was established in accordance with the internationally agreed Social Loan Principles developed in 2023 by the Loan Syndications and Trading Association (LSTA) and holds the highest rating of “Social 1(F)” from the Japan Credit Rating Agency.

The Framework is an integral part of LCI’s responsibility programme and reflects SMFL’s long term commitment to the UN’s Sustainable Development Goals (SDGs) as part of the company policy ‘The SMFL Way’.  Helicopters in EMS and SAR support local communities and align with ‘Good health and well-being’ (SDG3), ‘Industry, innovation and infrastructure’ (SDG9) and ‘Sustainable cities and communities’ (SDG11).

LCI is also a signatory of Aircraft Leasing Ireland’s (ALI) Sustainability Charter, with a commitment to driving forward and achieving ESG related goals, centred around 10 priority sustainability principles, including a commitment to achieving net zero by 2050.

– Ends –

About LCI

LCI is a leading aviation company that is uniquely positioned across the helicopter, commercial fixed-wing, and advanced air mobility sectors. Since its inception in 2004, LCI has undertaken approximately US$10 billion of aviation transactions and provides leasing services to operators, Governments and end-users.

LCI is owned by Libra Group (www.libra.com), a privately owned global business group with assets and operations in nearly 60 countries, and Sumitomo Mitsui Finance and Leasing Co., Ltd. (SMFL) (www.smfl.co.jp).

For more information, please contact: 

Charlie Hampton / Anshika Nagar

LCI

Tel: +44 (0)7884 187297 

E-Mail: lci@pembrokeandrye.com

LCI ACQUIRES AND LEASES SEVEN NEW LEONARDO AW169 HELICOPTERS TO BABCOCK CANADA

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20th November, 2024:  LCI, a leading aviation company, has purchased a fleet of seven, new emergency medical services (EMS) configured Leonardo AW169 helicopters.

The helicopters are being placed in LCI’s joint venture with SMFL: SMFL LCI Helicopters Limited. The joint venture has acquired the aircraft and will be leasing them to Babcock Canada (Babcock).

Babcock, a global leader in the delivery of engineering and critical support services, has been subcontracted by Ascent Helicopters, who will be providing EMS operations across the province on behalf of British Columbia Emergency Health Services (BCEHS).

The first helicopter has now been handed over, with the remaining six set to be delivered by January 2025. This agreement marks Ascent Helicopters as the first operator to bring the AW169 to Canada.

The highly capable AW169s will be specially equipped with night vision goggles and state of the art medical interiors completed by HeliMods in British Columbia. These modifications will enable the helicopters to meet the most mission critical operational requirements in British Columbia.

BCEHS carries out medical emergency evacuations and patient transfers between healthcare facilities, responding to calls from over 7,800 patients a year.

Nigel Leishman, Chief Commercial Officer of LCI, says: “LCI is honoured to support the important roles that Ascent and Babcock are playing in the expansion of vital EMS operations in British Columbia.”

“This development in our longstanding partnership with Babcock demonstrates how LCI can deliver tailored financing solutions for highly specialised, mission critical assets such as emergency medical service helicopters, giving maximum flexibility and support to our customers in providing essential operations.”

LCI is a longstanding leasing partner to the Babcock International Group, currently providing 17 helicopters for a wide variety of operational roles in markets across the globe.

Jerry McLean, CEO of Babcock Canada, says: “Babcock Canada is delighted to work with LCI as we expand our aviation footprint into Western Canada. The Leonardo AW169 is a modern, reliable, and mission-ready aircraft that will significantly enhance the critical services Ascent Helicopters will provide to the citizens of British Columbia.”

Each of these helicopters will support local communities and align with the UN Sustainable Development Goals (SDGs), including Good health and well-being (SDG3), Industry, innovation and infrastructure (SDG9) and Sustainable cities and communities (SDG11). Over half of LCI’s fleet is deployed on EMS operations.

LCI is a signatory of Aircraft Leasing Ireland’s (ALI) Sustainability Charter, with a commitment to driving forward and achieving ESG related goals, centred around 10 priority sustainability principles, including a commitment to achieving net zero by 2050.

– Ends –

About LCI

LCI is a leading aviation company that is uniquely positioned across the helicopter, commercial fixed-wing, and advanced air mobility sectors. Since its inception in 2004, LCI has undertaken approximately US$10 billion of aviation transactions and provides leasing services to operators, Governments and end-users.

LCI is owned by Libra Group (www.libra.com), a privately owned global business group with assets and operations in nearly 60 countries, and Sumitomo Mitsui Finance and Leasing Co., Ltd. (SMFL) (www.smfl.co.jp).

For more information, please contact: 

Charlie Hampton / Anshika Nagar

LCI

Tel: +44 (0)7884 187297 

E-Mail: lci@pembrokeandrye.com

About Ascent

Ascent Helicopters is a helicopter charter company, headquartered in Parksville BC.  Celebrating 20 years of specialized operations, Ascent is a leader in rotary wing aviation in Canada.  Ascent is very proud to support BCEHS in their delivery of safe and efficient pre-hospital emergency services and interfacility transfers; to the benefit of all BC communities. 

For more information, please contact:

info@ascentheli.ca

About Babcock Canada
Operating in Canada since 2008, Babcock Canada is a wholly owned subsidiary of Babcock International Group, a global defence, aerospace, and security company. For over 16 years, Babcock has been proud to play a critical role in supporting Canada’s safety and security, delivering engineering and critical support services to defence and civil customers.

Babcock combines the best Canadian talent and in-country expertise with deep global knowledge. Drawing on decades of international experience, Babcock delivers fully integrated solutions tailored specifically for Canada and its unique environment across the land, marine, and aviation sectors.

Now more than ever, what we do matters: creating a safe and secure world, together. Whether providing through-life technical and engineering support or designing and manufacturing a range of defence and civil equipment, Babcock ensures our services are equipped to fulfil our customers’ missions wherever, whenever, and however needed.

For more information, please contact: 

Nicholas Avellaneda, Head of Communications

Babcock Canada

Tel: +1-613-295-3120

E-Mail: nicholas.avellaneda@babcockinternational.com

LCI TO SUPPORT TORRES STRAIT ISLANDER HEALTHCARE WITH TWO NEW AW139 HELICOPTERS  

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30th August, 2024:  LCI, a leading aviation company, has delivered two new Leonardo AW139 helicopters to Babcock Australasia (Babcock) for emergency medical services (EMS) operations across the Torres Strait and the Northern Peninsula of Queensland, Australia.

The helicopters, which were delivered to Australia to begin modification for their EMS role in late August, have been placed in LCI’s joint venture with SMFL: SMFL LCI Helicopters Limited. The aircraft will be based at Horn Island and support Babcock’s operations for the Queensland Government, including the delivery of 24/7 EMS and search and rescue (SAR) services across the Torres Strait.

The new aircraft offer flexibility, high performance, and reliability. Travelling further, faster and with greater capabilities than the previous generation aircraft they are replacing, the helicopters will provide local communities in the Torres Strait and Northern Cape York Peninsula with improved patient care.

The AW139s are fitted with a power loading stretcher system, a winch and an Electro Optic/Infra-Red Camera for enhanced SAR, EMS and other lifesaving work within the remote island community.

Accomplished Torres Strait Islander artist, Alick Tipoti, has designed two dramatic liveries for the helicopters which will be instantly recognisable to the Torres Strait Islander communities of North Queensland that they will serve.  Torres Strait Islander Peoples use the word ‘Kuyup’ in reference to the rescue helicopter, which translates to dragonfly.  The overall design is known as ‘Kuyupaw Yabu’, which translates to the flight path of the dragonfly, and incorporates elements such as migrating birds, sea spirits, reefs and lagoons.  The Kuyup (dragonfly) is central to the design.

Nigel Leishman, Chief Commercial Officer of LCI, says: “We are delighted to be providing two new AW139 helicopters, equipped with latest equipment for EMS and other mission critical services, to our longstanding partner Babcock. These state-of-the-art helicopters will improve the speed, range and capability of its operations in Queensland.

“The striking Kuyupaw Yabu liveries will boost the visibility of emergency operations across remote communities in the Torres Strait and Northern Peninsula, and we are proud to have co-sponsored the artwork alongside Babcock and Leonardo.”

LCI is a longstanding leasing partner to the Babcock group, and now provides 18 helicopters for a wide variety of operational roles in markets across the globe.

Duncan Milne, Managing Director Aviation & Critical Services for Babcock Australasia, says: “LCI has helped us to deliver EMS and mission critical solutions of exceptional quality across the globe for many years. These latest helicopters are a significant step forward for both LCI and Babcock in our support of highly effective emergency services in the harder to reach parts of Australia.”

Each of these aircraft deliver this mission critical support to local communities and align with the UN Sustainable Development Goals (SDGs), including Good health and well-being (SDG3), Industry, innovation and infrastructure (SDG9) and Sustainable cities and communities (SDG11). Over half of LCI’s fleet is deployed on EMS operations.

LCI is a signatory of Aircraft Leasing Ireland’s (ALI) Sustainability Charter, with a commitment to driving forward and achieving ESG related goals, centred around 10 priority sustainability principles, including a commitment to achieving net zero by 2050.

– Ends – 

About LCI 

LCI is a leading aviation company that is uniquely positioned across the commercial fixed-wing, helicopter and advanced air mobility sectors. Since its inception in 2004, LCI has undertaken approximately US$10 billion of aviation transactions and provides leasing services to operators, Governments and end-users.

LCI is owned by Libra Group (www.libra.com), a privately owned global business group with assets and operations in nearly 60 countries, and Sumitomo Mitsui Finance and Leasing Company, Limited (SMFL) (www.smfl.co.jp).

For more information, please contact:  

Charlie Hampton / Anshika Nagar  

Tel: +44 (0)7570 662925

E-Mail: lci@pembrokeandrye.com