Hong Kong-based conglomerate Cheung Kong is reportedly in talks with Mitsubishi’s aircraft leasing unit, MC Aviation Partners, to form a joint venture (JV).
If successful, the proposed JV will mark Cheung Kong’s foray into aircraft leasing business.
The plans are part of Cheung Kong’s strategy to expand the group’s presence outside Hong Kong.
A source familiar with the matter was quoted by Reuters as saying: "They (Cheung Kong) have their fingers in a lot of pies at the same time.
"They have huge ambitions and are looking to become a top global lessor."
The proposed JV will provide Cheung Kong with access to around 20 aircraft, as well as tap into the expertise of MC Aviation Partners, which owns and manages approximately 100 aeroplanes.
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By GlobalDataDiscussions on the planned JV are underway and an official announcement is expected to be made in the coming days, the source said.
The Hong Kong-based firm has recently announced a bid for AWAS Aviation Capital’s $5bn fleet of 100 aircraft.
Cheung Kong group has to date raised around $9bn this year through divestments, and is looking for stable investment options in other markets as expansion opportunities are being restricted in the domestic market.
