#United States #New York #Sumitomo Corporation #aviation industry #Wernor Aero

Sumitomo's Full Acquisition of Werner Aero

In a significant move to bolster its position in the aircraft aftermarket business, Sumitomo Corporation of Americas has completed the full acquisition of Werner Aero LLC as of December 27, 2024. This strategic decision not only enhances Sumitomo's capabilities but also underscores the increasing demand for used aircraft parts amid the aviation sector’s recovery.

Werner Aero, known for its specialized services in procurement, dismantling, and selling retired aircraft and their components, has been a trusted partner for airlines and leasing companies for over 30 years. The company's comprehensive business model offers end-to-end solutions, which sets it apart from competitors that mainly focus on parts resale. It includes extensive services, such as the procurement of used aircraft, extraction of parts, and maintenance — delivering unmatched value to customers.

Toshinori Kondo, who recently took over as CEO of Werner Aero, expressed his excitement about the acquisition by stating, "Werner's strong network and operational expertise have positioned it as a leader in the high-demand narrow-body aircraft and regional jet market. This acquisition allows us to build on Werner's strengths and accelerate our growth in the aircraft aftermarket business."

Previously, Sumitomo had acquired a 51% stake in Werner Aero in 2022, making the full acquisition a natural progression in its long-term strategy. This decision was influenced by favorable market conditions particularly surrounding Maintenance, Repair, and Overhaul (MRO) services which are increasingly necessary due to delays in new aircraft deliveries caused by global labor shortages and supply chain issues.

The collaboration serves to leverage Sumitomo’s substantial financial resources and global airline connections to expand Werner Aero’s procurement channels and operational capacities significantly. As both firms integrate their operations, they can enhance their competitive edge through close collaboration and global coordination.

As the aviation industry continues to evolve post-pandemic, the demand for aircraft parts and services is projected to rise, driven by a recovering market that calls for reliable solutions. This acquisition positions Sumitomo Corporation of Americas and Werner Aero to capitalize on these prospects, ensuring sustained growth in the aviation sector.

About Sumitomo Corporation of Americas

Sumitomo Corporation of Americas operates under the larger umbrella of Sumitomo Corporation, a renowned integrated trading company with a vast global presence through 128 offices across 66 countries and regions. The group comprises approximately 900 subsidiary firms and nearly 80,000 employees, working across various sectors including automotive, steel, chemicals, and energy transformation among others. Pursuing their longstanding philosophy of enriching lives, Sumitomo Corporation aims to create greater societal value through strategic business practices.

About Werner Aero

Established in 1993, Werner Aero is an industry leader specializing in lifecycle solutions for aircraft including asset management and maintenance services. They operate out of a 2,500-square-foot facility in New Jersey, stocked with thousands of aircraft parts ready to meet the varying needs of airlines and maintenance organizations. The flexibility and innovation at Werner Aero make it a reputable player in the aviation market, capable of enhancing operational efficiency for its partners.

In conclusion, the complete acquisition of Werner Aero by Sumitomo Corporation of Americas marks a pivotal moment in their strategy to enhance services in the growing field of aircraft aftermarket solutions. The synergies and enhanced operational capabilities derived from this acquisition will undoubtedly serve to position both companies for future success in an evolving aviation landscape.