Mumbai, India-based aircraft leasing company Vman Aviation Services became the first private Indian lessor to sign a memorandum of understanding with Hindustan Aeronautics (HAL) to form a joint venture for leasing aircraft. Vman will hold a majority share (51 percent) of the company, which has yet to be named.

“The deal will take around six months to close,” Vman CEO Vishok Mansingh told AIN. Mansingh said an agreement was signed with HAL at AeroIndia on February 14 to lease five light utility helicopters (LUH) with options for five more. The civil version of the LUH is expected to be rolled out in 2025.

“India has one of the lowest penetrations of helicopters with limited operations. We believe LUH, with a customer-focused design, will rejuvenate the helicopter market in India. It will be an asset in our portfolio,” he said. The LUH can carry two pilots and six passengers. The transaction opens the door to an ecosystem where Indian-manufactured equipment will be on offer by an Indian leasing company.

“We see major potential for leasing of advanced light helicopters for commercial and oil and gas transport, as well as the Dornier (Hindustan) Do-228 for commuter aircraft for domestic and international such as Nepal and Philippines markets—and maybe even the military,” Mansingh added.

On February 27, a new variant of the HAL Do-228—the Hindustan 228-201LW—was approved by the regulator Directorate General of Civil Aviation. This variant has a maximum takeoff weight of 5,695 kg with 19 passenger capability and offers operational benefits for operators, including reduced pilot qualification requirement, enhanced availability of pilot pool for the aircraft, and reduced operational cost. 

Charters, shuttles, urban mobility, helicopter EMS, aerial work, search and rescue, and law enforcement requirements will open a large potential for these airplanes even as a liberal helicopter policy is to be released soon in India. 

To further build and strengthen his assets, Mansingh has ordered 10 Piper piston aircraft and is looking at 20 indigenous flight training airplanes—from Hansa New Generation designed and developed by CSIR-National Aerospace Laboratories—for replacement of aging aircraft at flying clubs. “The Hansa NGs are due for certification soon. It is a suitable aircraft for commercial pilot license with its low cost and low fuel intake.”

Aircraft lessor Vman is based out of the Gujarat International Finance Tech (GIFT) City. Two years ago, Vman became the first company from the business district to sign an aircraft purchase agreement for an Airbus H125 helicopter. The government has launched numerous incentives and tax holidays on capital gains on aircraft leasing done at GIFT City.