Willis Lease Finance Corporation Announces Aircraft Engine Leasing Partnership with Blackstone Credit & Insurance

Rhea-AI Summary

Willis Lease Finance Corporation (NASDAQ: WLFC) and Blackstone Credit & Insurance (BXCI) announced a strategic aircraft engine leasing partnership to deploy over $1 billion in current and next‑generation engines and select aircraft over the next two years. WLFC identified a seed portfolio and near‑term pipeline expected to close into the partnership, aiming to scale WLFC’s asset management platform and diversify engine types and airline customers globally. BNP Paribas served as sole structuring agent and advisor to BXCI.

Positive

• Partnership to deploy over $1 billion in engines and select aircraft within two years
• Access to BXCI’s platform that manages over $100 billion (as of Sept 30, 2025)

Negative

• Financial terms, ownership stakes and economics of the partnership were not disclosed

Key Figures

Planned deployment over $1 billion Capital to be deployed in engines and select aircraft over the next two years

BXCI AUM over $100 billion Assets managed by BXCI’s Infrastructure and Asset Based Credit group as of Sep 30, 2025

Investment professionals over 80 Number of professionals in BXCI’s Infrastructure and Asset Based Credit group

Share price $134.12 WLFC price prior to partnership announcement, <b>41.6%</b> below 52-week high

Market Reality Check

$155.82 Last Close

Volume Volume 37,098 is at 0.78x the 20-day average, indicating subdued trading interest pre-announcement. normal

Technical Shares at $134.12 are trading below the 200-day MA of $140.41 and 41.6% under the 52-week high.

Peers on Argus

Peers in Rental & Leasing Services show mixed, modest moves (e.g., HTZ +0.77%, PRG -0.51%, VSTS -1.35%), while WLFC was down 1.12%, pointing to stock-specific dynamics rather than a broad sector move.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 23	Debt financing	Positive	+2.8%	Closing of <b>$392.9M</b> fixed-rate notes backed by engine and airframe portfolio.
Dec 18	Capital partnership	Positive	-0.2%	Up to <b>$600M</b> Liberty Mutual partnership to fund WLFC’s credit strategy.
Dec 11	Debt pricing	Positive	-2.3%	Pricing of <b>$392.9M</b> engine-backed notes with fixed coupons and long maturities.
Dec 10	Debt offering	Positive	+3.6%	Announcement of offering for <b>$392.9M</b> in fixed-rate notes secured by engines.
Nov 10	Executive hire	Positive	+1.0%	Appointment of SVP M&A to drive global portfolio growth across businesses.

Pattern Detected

Recent financing and partnership news has more often led to positive price reactions, but several partnership announcements have seen muted or negative next-day moves.

Recent Company History

Over the past few months, WLFC has focused on scaling its engine-focused financing platform. In Dec 2025, it announced and then closed $392.9M in fixed-rate notes tied to 47 engines and 2 airframes, with mixed short-term price reactions. A $600M Liberty Mutual partnership and the hiring of an SVP for M&A on Nov 10, 2025 further emphasized growth and capital access. Today’s Blackstone partnership continues this pattern of using external capital to expand asset management and credit strategies.

Market Pulse Summary

The stock moved +5.8% in the session following this news. A strong positive reaction aligns with WLFC’s recent pattern where major financing steps and platform-expanding deals, such as the $392.9M WEST IX notes, sometimes drew favorable moves. The BXCI partnership adds over $1 billion of planned deployment capacity, which could be viewed as reinforcing growth and asset management scale. However, investors have previously shown mixed responses to partnerships, so deal execution and returns on these engine assets would remain key to sustaining enthusiasm.

Key Terms

private credit financial

"Blackstone’s scaled private credit business to focus on the engine asset class."

Private credit is a form of borrowing where companies or organizations obtain loans directly from private lenders rather than traditional banks or financial markets. It often involves customized financing arrangements that are not traded publicly, making it a way for businesses to access funding outside of standard channels. For investors, private credit offers the potential for higher returns, but typically comes with increased risk and less liquidity compared to more conventional investments.

asset based credit financial

"BXCI’s Infrastructure and Asset Based Credit group manages over $100 billion"

Asset based credit is a loan or line of credit secured by a company’s tangible assets—such as inventory, accounts receivable, or equipment—rather than by future earnings. Think of it like a mortgage for a business asset: lenders will advance money based on the value of those assets and can seize them if the borrower defaults. For investors, it signals how a company finances working capital and the relative safety and cost of its borrowing, affecting liquidity, leverage and downside risk.

structured investments financial

"providing investment grade credit, non-investment grade credit, and structured investments across the real economy"

Structured investments are customized financial products that bundle conventional assets (like bonds or stocks) with built‑in rules that change how returns are paid based on market movements. They matter to investors because they can be designed to offer higher income, limited downside protection, or targeted exposure to a market outcome — like a tailored appliance that performs specific functions but only under certain settings, so cost, complexity and conditions affect real returns.

AI-generated analysis. Not financial advice.

COCONUT CREEK, Fla. and NEW YORK, Jan. 05, 2026 (GLOBE NEWSWIRE) -- Willis Lease Finance Corporation (NASDAQ: WLFC) (“WLFC” or the “Company”), the leading lessor of commercial aircraft engines and a global provider of aviation services, and Blackstone Credit & Insurance (“BXCI”) announced a strategic aircraft engine leasing partnership with plans to deploy over $1 billon in the next two years in current and next generation aircraft engines and select aircraft. This unique partnership brings together a leading engine leasing specialist with Blackstone’s scaled private credit business to focus on the engine asset class.

The partnership leverages WLFC's established position as a pioneer in aircraft engine leasing and its growing asset management platform. WLFC has identified a seed portfolio and near-term pipeline of high-quality engine assets that are expected to close into the partnership, providing immediate scale and diversification across engine types and airline customers globally.

“We are excited to partner with BXCI, whose scale and long-term capital commitment will accelerate the growth of our asset management business,” said Austin C. Willis, CEO of WLFC. “Blackstone is a leader in asset-based credit, and their investment demonstrates the strength of our position in aircraft engine leasing and their belief in our ability to generate attractive returns through disciplined asset selection and active management.”

Scott Flaherty, CFO of WLFC, added “the Blackstone relationship provides further capital diversification to the Willis platform. We are excited about this new relationship and the growth opportunities this brings to our business.”

“Willis is a leading lessor of commercial aircraft engines and brings unparalleled technical expertise, deep customer relationships and a proven track record,” said Aneek Mamik, Senior Managing Director, Blackstone Credit & Insurance. “This opportunity is consistent with BXCI’s objectives of building programmatic, differentiated origination in large addressable markets with a focus on hard assets and strong downside protection.”

“We look forward to partnering with the WLFC team to support the growth of their platform and deliver essential engine solutions for the global aviation fleet,” added Alex Buck, Principal, Blackstone Credit & Insurance.

BXCI’s Infrastructure and Asset Based Credit group manages over $100 billion and has over 80 investment professionals, as of September 30, 2025. The platform is focused on providing investment grade credit, non-investment grade credit, and structured investments across the real economy in sectors such as infrastructure, commercial finance, fund finance, consumer finance, and residential real estate loans.

BNP Paribas served as sole structuring agent and advisor to BXCI.

About Willis Lease Finance Corporation

Willis Lease Finance Corporation leases large and regional spare commercial aircraft engines, auxiliary power units and aircraft to airlines, aircraft engine manufacturers and maintenance, repair and overhaul providers worldwide. These leasing activities are integrated with various end-of-life solutions for engines and aviation materials provided through Willis Aeronautical Services, Inc. Additionally, through Willis Engine Repair Center®, Jet Centre by Willis, and Willis Aviation Services Limited, the Company’s service offerings include Part 145 engine maintenance, aircraft line and base maintenance, aircraft disassembly, parking and storage, airport FBO and ground and cargo handling services. Willis Sustainable Fuels intends to develop, build and operate projects to help decarbonize aviation.

About Blackstone Credit & Insurance

Blackstone Credit & Insurance (“BXCI”) is one of the world’s leading credit investors. Our investments span the credit markets, including private investment grade, asset-based lending, public investment grade and high yield, sustainable resources, infrastructure debt, collateralized loan obligations, direct lending and opportunistic credit. We seek to generate attractive risk-adjusted returns for institutional and individual investors by offering companies capital needed to strengthen and grow their businesses. BXCI is also a leading provider of investment management services for insurers, helping those companies better deliver for policyholders through our world-class capabilities in investment grade private credit.

Forward-Looking Statements

Except for historical information, the matters discussed in this press release contain forward-looking statements that involve risks and uncertainties. Do not unduly rely on forward-looking statements, which give only expectations about the future and are not guarantees. By their nature, forward-looking statements involve a number of inherent risks, uncertainties and assumptions and are subject to change in circumstances that are difficult to predict and many of which are outside of our control. These risks, uncertainties and assumptions could adversely affect the outcome and financial effects of the plans and events described herein. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update them to reflect any change in the Company’s expectations or any change in events, conditions or circumstances on which the forward-looking statement is based, except as required by law. Our actual results may differ materially from the results discussed, either expressly or implicitly, in forward-looking statements. Factors that might cause such a difference include, but are not limited to: the effects on the airline industry and the global economy of events such as war, terrorist activity and natural disasters; changes in oil prices, rising inflation and other disruptions to world markets; trends in the airline industry and our ability to capitalize on those trends, including growth rates of markets and other economic factors, as well as the impact of new or increased tariffs; risks associated with owning and leasing jet engines and aircraft; our ability to successfully negotiate equipment purchases, sales and leases, to collect outstanding amounts due and to control costs and expenses; changes in interest rates and availability of capital, both to us and our customers; our ability to continue to meet changing customer demands; regulatory changes affecting airline operations, aircraft maintenance, accounting standards and taxes; the market value of engines and other assets in our portfolio; and risks detailed in the Company’s Annual Report on Form 10-K and other continuing and current reports filed with the Securities and Exchange Commission. It is advisable, however, to consult any further disclosures the Company makes on related subjects in such filings. These statements constitute the Company’s cautionary statements under the Private Securities Litigation Reform Act of 1995.

CONTACTS:
Willis Lease Finance Corporation		Blackstone Credit & Insurance
Lynn Mailliard Kohler		David Vitek
lkoher@willislease.com		David.Vitek@blackstone.com
(415) 328-4798		(212) 583-5291

FAQ

What did WLFC and BXCI announce on January 5, 2026 regarding WLFC (WLFC)?

They announced a strategic engine leasing partnership to deploy over $1 billion in the next two years.

How much capital will BXCI commit to WLFC’s engine leasing partnership?

The partners plan to deploy over $1 billion in current and next‑generation engines and select aircraft over two years.

What scale does Blackstone Credit & Insurance bring to the WLFC (WLFC) partnership?

BXCI’s Infrastructure and Asset Based Credit group manages over $100 billion and has over 80 investment professionals (as of Sept 30, 2025).

Will WLFC’s seed portfolio be included in the new partnership announced January 5, 2026?

WLFC identified a seed portfolio and a near‑term pipeline that are expected to close into the partnership, providing immediate scale.

Who advised BXCI on the WLFC engine leasing partnership announced Jan 5, 2026?

BNP Paribas served as sole structuring agent and advisor to BXCI.