Japanese trading and investment company Marubeni Corporation is boosting its aftermarket parts presence through a new equity deal. It has acquired a 50% equity stake in aviation inventory solutions provider DASI for an undisclosed amount.
Headquartered in Miami, DASI operates service centers in Los Angeles, London and Singapore. It has an inventory of more than 600,000 lines, including aircraft consumables, expendables and rotables. It also offers capabilities such as AOG services and engine sales and leasing.
Marubeni says the acquisition will accelerate its growth in the aviation parts inventory space. “This acquisition is in line with our strategy of expanding our capabilities in the aviation aftermarket space and will enable us to better serve our customers by providing them with a one-stop shop for all their inventory needs,” says Toru Okazaki, executive officer of Marubeni and chief operating officer of its aerospace and ship division.
Marubeni’s aerospace and ship division is focused on what it calls expansion of the “value up” capabilities of aircraft assets throughout the aircraft lifecycle. This includes areas such as aircraft and engine parts trading, maintenance, asset management and airport ground handling. The company is active in several areas of the aviation market. It operates engine leasing joint venture Total Engine Asset Management with ST Aerospace, and it has acquired majority stakes in supplier Magellan Aviation and lessor Aircastle.
Recently, Marubeni has also invested in the business aviation and advanced air mobility (AAM) segments. In January, it reserved slots for 25 Vertical Aerospace VX4 electric vertical-takeoff-and-landing (eVTOL) aircraft, following an agreement with the OEM for a pre-order option of up to 200 of the eVTOLs. In 2019 it partnered with Japan Airlines to launch JAL Business Aviation, a business jet services provider.
DASI says Marubeni’s investment will help it expedite development of its online marketplace, increase availability of factory new spares and advance its expansion in the surplus inventory space. It says the strategic partnership will also provide it with access to a wider range of customers and suppliers, opening new pathways for cross-selling and collaboration.
The timing of Marubeni’s acquisition coincides with Fortress Investment Group exiting its investment in DASI, which began in 2017. At the time, Fortress acquired 25% of DASI’s shares and provided funding for DASI to acquire surplus inventory packages through a joint venture structure. During the six-year investment period, DASI says it tripled in size.
Aside from its purchases of surplus inventory, a spokesperson for DASI says growth during this period was also driven by quadrupling revenue from channel partner programs, the quick post-pandemic rebound of demand for Embraer products and significant growth in the GE CF34-10 engine market.
According to the DASI spokesperson, it continues to “have a strong relationship with Fortress as a consignment partner on multiple programs.” The spokesperson also notes that “the opportunity with Marubeni arose outside any formal process and made sense for all parties.”
John Dziuba, CEO and founder of DASI, says, “We are confident that Marubeni’s investment will take the company to new heights.”
Dziuba owns the remaining 50% of shares in DASI.
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