MAG signs deal to acquire Airbus’ Sepang Aircraft Engineering, eyes stronger maintenance portfolio
KUALA LUMPUR, Oct 1 — Malaysia Aviation Group (MAG) has signed a sale and purchase agreement with Airbus to acquir...
Malaysia Aviation Group (MAG) has inked a sale and purchase agreement with Airbus to acquire its wholly-owned subsidiary, Sepang Aircraft Engineering (SAE). According to a statement released today, this proposed acquisition marks a significant step forward for MAG under its Long-Term Business Plan 3.0 (LTBP 3.0), as it bolsters the group's engineering and maintenance capabilities, broadens its integrated aviation services offerings, and accelerates the growth of third-party revenue streams.
The deal is contingent on a few conditions, including approval from the Civil Aviation Authority of Malaysia, with completion expected in 2027.
MAG's president and group chief executive officer, Captain Nasaruddin A Bakar, highlighted the strategic importance of this acquisition, stating that it aligns with the group's approach of deploying capital and prioritising opportunities to bolster core businesses, diversify revenue streams, and support its long-term growth ambitions.
He explained that the acquisition builds upon MAG's existing engineering and maintenance foundations, improving MAG's position to seize opportunities in the rapidly growing maintenance, repair, and operations market, while meeting rising third-party demand.
Nasaruddin also emphasized that SAE enhances MAG's MAB Engineering capabilities by leveraging its expertise in A320 aircraft, a dedicated paint hangar, and specialized component repair services. The acquisition further bolsters MAG's technical, operational, and quality standards, which were established during Airbus' management of the subsidiary.
Written by urgent.news from Malay Mail's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
