Willis Lease Finance Corporation Establishes New Asset Management Entity, Willis Aviation Capital

Rhea-AI Summary

Willis Lease Finance (NASDAQ: WLFC) announced the launch of Willis Aviation Capital (WAC), a new asset management division to manage third-party engine and aviation asset portfolios through discretionary funds. WAC aims to generate recurring management fees, carried interest, and servicing revenues while supporting balance sheet deleveraging and expanding WLFC’s asset-management footprint.

WAC will manage partnerships including a $1 billion Blackstone credit & insurance leasing partnership and a up to $600 million Liberty Mutual credit strategy, oversee existing joint ventures with Mitsui and China Aviation Supplies Company, and supervise select third-party assets. Brian R. Hole will lead WAC as Global Head of Managed Funds and Credit.

Positive

• $1.0B Blackstone-managed capital committed
• Up to $600M Liberty Mutual credit strategy commitment
• New recurring revenue streams from management fees and carried interest
• Leadership named: Brian R. Hole as Global Head of Managed Funds and Credit

Negative

• None.

News Market Reaction – WLFC

+2.38%

1 alert

+2.38% News Effect

On the day this news was published, WLFC gained 2.38%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Blackstone partnership size: $1 billion Liberty Mutual commitment: Up to $600 million Price move pre-news: 5.79% +1 more

4 metrics

Blackstone partnership size $1 billion Recently announced leasing partnership with Blackstone Credit & Insurance

Liberty Mutual commitment Up to $600 million Credit strategy commitment from Liberty Mutual Investments

Price move pre-news 5.79% 24h price change ahead of/as of this news

Relative volume 2.08x Today’s volume vs 20-day average

Market Reality Check

Price: $205.21 Vol: Volume 106,554 is 2.08x t...

high vol

$205.21 Last Close

Volume Volume 106,554 is 2.08x the 20-day average of 51,106, indicating elevated interest ahead of this announcement. high

Technical Trading slightly above 200-day MA at $140.19, but still 38.22% below the 52-week high.

Peers on Argus

WLFC gained 5.79% with strong volume, while peers showed mixed moves (e.g., CTOS...

WLFC gained 5.79% with strong volume, while peers showed mixed moves (e.g., CTOS +6.36%, PRG +2.44%, VSTS -1.23%). With no peers in momentum scanners and no same-day peer headlines, the reaction appears company-specific rather than a broad sector rotation.

Historical Context

5 past events · Latest: Dec 23 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 23	Debt financing close	Positive	+2.8%	Closed <b>$392.9M</b> fixed-rate notes secured by engine and airframe portfolio.
Dec 18	Capital partnership	Positive	-0.2%	Liberty Mutual partnership providing up to <b>$600M</b> for WLFC’s credit strategy.
Dec 11	Debt pricing	Positive	-2.3%	Priced <b>$392.9M</b> WEST IX notes with fixed coupons and long maturities.
Dec 10	Debt offering launch	Positive	+3.6%	Announced offer of <b>$392.9M</b> notes secured by engines and airframes.
Nov 10	Executive hire	Positive	+1.0%	Appointed SVP M&A to drive portfolio growth in leasing and services.

Pattern Detected

Recent WLFC news around financings and partnerships often produced modest single‑digit moves, with a mix of aligned and divergent reactions, suggesting investor responses can vary even to seemingly positive capital and balance sheet actions.

Recent Company History

Over the past two months, WLFC has focused on capital markets and strategic growth. It announced a series of fixed‑rate note offerings totaling $392.9M through Willis Engine Structured Trust IX, culminating in a closing on Dec 23, 2025. A partnership with Liberty Mutual Investments added up to $600M for its credit strategy. Governance and growth initiatives included hiring a senior M&A leader and multiple executive compensation and insider-transaction disclosures. Today’s creation of Willis Aviation Capital extends that asset-management and capital-partnership trajectory.

Market Pulse Summary

This announcement establishes Willis Aviation Capital as a dedicated platform for managing third‑par...

Analysis

This announcement establishes Willis Aviation Capital as a dedicated platform for managing third‑party aviation assets and discretionary funds, tied to sizeable partnerships like the $1 billion Blackstone leasing arrangement and up to $600 million from Liberty Mutual Investments. It extends a recent pattern of capital markets activity and platform expansion. Investors may watch how recurring fees, carried interest, and expanded servicing volumes contribute to returns and balance sheet deleveraging over time.

Key Terms

carried interest, discretionary funds, joint ventures, MRO business

4 terms

carried interest financial

"generate recurring management fees, carried interest, and servicing revenues"

Carried interest is a share of the profits earned by investment managers from the investments they oversee, serving as their reward for successful performance. It functions like a bonus that motivates managers to maximize returns for investors, similar to earning a commission based on performance. This income is often taxed at a lower rate than regular income, making it a significant aspect of investment compensation.

discretionary funds financial

"through discretionary funds. WLFC will manage engine and aviation asset portfolios"

Discretionary funds are the portion of cash available after paying essential costs—like bills, rent or required operating expenses—that can be spent or invested at management’s or an individual’s choice. For investors, discretionary funds matter because they indicate how much room there is for extra spending, growth initiatives, marketing or dividends; think of it as the money left in your wallet after covering fixed monthly needs, which determines flexibility and potential for future returns.

joint ventures financial

"existing joint ventures with Mitsui & Co. and China Aviation Supplies Company"

A joint venture is a business arrangement where two or more companies come together to work on a specific project or goal, sharing both the risks and the rewards. It’s like partners teaming up for a common goal, which can help them access new markets, share expertise, or reduce costs. For investors, joint ventures can create new opportunities but also involve shared responsibilities and potential risks.

MRO business technical

"Willis Engine Repair Centers® in the U.S. and U.K. (“WERC®”): engine MRO business"

MRO business refers to companies that provide or manage maintenance, repair and overhaul goods and services needed to keep equipment, facilities or vehicles running. Think of it like the routine care and emergency fixes for a fleet of cars or a factory: parts, scheduled servicing, and major refurbishments. Investors watch MRO businesses because they often produce steady, repeatable revenue, reflect capital spending cycles, and reveal cost or supply-chain pressures that affect profitability.

AI-generated analysis. Not financial advice.

COCONUT CREEK, Fla., Jan. 06, 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, today announced the establishment of Willis Aviation Capital (“WAC”), a new division that will focus on the management of third-party assets and capital through discretionary funds. WLFC will manage engine and aviation asset portfolios primarily funded by third-party capital. The platform is expected to generate recurring management fees, carried interest, and servicing revenues, while expanding WLFC’s asset management presence and supporting balance sheet deleveraging.

“The establishment of WAC is intended to bring attractive returns to its partners by leveraging WLFC’s industry-leading leasing and services platform,” said Austin C. Willis, Chief Executive Officer of WLFC.

WLFC has partnered with leading institutional investors to help launch the platform, including its recently announced leasing partnership with Blackstone Credit & Insurance ($1 billion) and credit strategy with Liberty Mutual Investments (up to $600 million), both of which will be managed in collaboration with WAC. In addition, WAC will oversee WLFC’s existing joint ventures with Mitsui & Co. and China Aviation Supplies Company, as well as select third-party aviation assets in which WLFC does not hold an equity interest.

The WAC structure is designed to support WLFC’s return profile through:

1. Durable income streams and recurring revenue from institutional funds, joint ventures, and select aviation assets to drive shareholder value.
2. Increased volume of aviation assets serviced across WLFC’s operating and joint venture businesses, including:
   1. Willis Aeronautical Services, Inc. (“WASI”): engine materials business
   2. Willis Engine Repair Centers^® in the U.S. and U.K. (“WERC^®”): engine MRO business
   3. Willis Aviation Services Limited (“WASL”): airframe maintenance and teardown business
   4. Willis Mitsui & Co. Asset Management Limited (“WAML”): consulting and CAMO business
   5. Willis Global Engine Testing (“WGET”): test cell joint venture
3. Enhanced transaction scale, enabling more programmatic investments and greater lessee diversification
   
   

WAC will be led by Brian R. Hole, who has been appointed Global Head of Managed Funds and Credit. Mr. Hole joined WLFC in 2014 as Chief Investment Officer and has served as President since 2016. Dan Coulcher, formerly Chief Commercial Officer for WLFC in EMEA, has been named Senior Vice President of Joint Ventures and will report to Mr. Hole.

“We are excited to officially launch Willis Aviation Capital with two great partners in Blackstone and Liberty Mutual Investments,” said Brian R. Hole. “The strength of our business is in the deep and diverse professional experience of our people. This new platform allows us to leverage that experience as an asset manager on a much larger scale, positioning us to capture incremental demand for engine leasing, lending, maintenance services, and programs.”

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.

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.

CONTACT:	Lynn Mailliard Kohler
	Director, Global Corporate Communications
	(415) 328-4798 lkohler@willislease.com

FAQ

What is Willis Aviation Capital and why did WLFC (WLFC) create it on January 6, 2026?

WAC is a new WLFC division to manage third-party engine and aviation asset portfolios and generate recurring fees, carried interest, and servicing revenues to support deleveraging.

How much capital will WLFC manage with Blackstone and Liberty Mutual through WAC?

WAC will manage WLFC’s $1.0 billion Blackstone leasing partnership and a up to $600 million Liberty Mutual credit strategy.

Who will lead Willis Aviation Capital (WAC) at WLFC (WLFC)?

Brian R. Hole is named Global Head of Managed Funds and Credit; Dan Coulcher is Senior VP of Joint Ventures reporting to him.

Which WLFC businesses will WAC oversee or support?

WAC will oversee engine materials (WASI), engine MRO (WERC), airframe maintenance/teardown (WASL), consulting/CAMO (WAML), and test cell JV (WGET).

What revenue types does WLFC expect from the Willis Aviation Capital platform?

WLFC expects recurring management fees, carried interest, and servicing revenues from institutional funds, joint ventures, and selected third-party assets.