Iberia has agreed to sell a minority stake in IAG Engine Tech (IET), International Airlines Group’s new aircraft-engine maintenance company, to Japanese trading and investment group ITOCHU Corporation. IAG will retain majority ownership through Iberia, while IET prepares to begin servicing narrow-body engines at Iberia Maintenance’s La Muñoza facilities in Madrid in early 2027.
Established in 2026, IET will build on more than 50 years of engine-maintenance experience developed by Iberia Maintenance. Its initial capabilities cover International Aero Engines V2500, CFM International CFM56 and Pratt & Whitney PW1000G/JM geared-turbofan engines. The company will also add CFM LEAP maintenance under IAG’s CFM LEAP Premier MRO licence.
IET will support the engine-maintenance requirements of IAG airlines and pursue international third-party customers. La Muñoza will remain the business’s centre of excellence as the new company develops capacity and specialisation.
ITOCHU is expected to complete its investment in early 2027, subject to regulatory approvals and other required consents. The companies have not disclosed the transaction value or the percentage stake. The investment extends ITOCHU’s existing relationship with Iberia and IAG through aircraft leasing and other aviation activities, while providing capital, industrial expertise and an international customer network for IET’s expansion.