MAG agrees to buy Airbus subsidiary Sepang Aircraft Engineering
The acquisition requires regulatory approval, with Malaysia Aviation Group seeking to complete the transaction by 2027.
Malaysia Aviation Group (MAG) has agreed to purchase Sepang Aircraft Engineering (SAE), a wholly owned Airbus Group subsidiary, through a sale and purchase agreement. The transaction's value was not disclosed.
Completion remains conditional on customary requirements, including approval from the Civil Aviation Authority of Malaysia (CAAM). MAG is discussing the acquisition with CAAM and other relevant stakeholders, aiming to conclude it by 2027.
SAE specialises in Airbus aircraft and provides maintenance, repair and overhaul (MRO) services. MAG said the purchase forms part of its Long-Term Business Plan 3.0 strategy to develop its maintenance and engineering capabilities.
In a statement, MAG group chief executive officer Captain Nasaruddin A Bakar said the plan prioritises investments that reinforce the core business and broaden revenue sources to offset fuel-price volatility. He said the proposed purchase would build on MAG's existing capabilities, allowing it to pursue opportunities in the growing MRO market and serve rising demand from third parties.
