Malaysian Aerospace Engineering To Acquire Transmile's E&M Unit
20.08.2009 [15:33] Malaysian Airline System Berhad (MAS) wishes to announce that Malaysian Aerospace Engineering Sdn Bhd (MAE), a wholly-owned subsidiary of MAS, and Transmile Group Berhad (Transmile) have today signed a Letter of Intent for MAE to purchase Transmile’s Engineering & Maintenance unit.
The proposed acquisition involves the purchase of Transmile’s base maintenance and engineering capabilities including 2 hangars, equipment, and employment of its skilled manpower at its Subang base.
The proposed transaction also includes MAE providing ongoing heavy maintenance services to Transmile’s fleet of 16 freighter aircraft. Transmile will also continue to perform its own online maintenance checks in Malaysia and elsewhere.
Upon the completion of the acquisition, MAE is expected to be the largest airframe MRO in Asia Pacific with 8 hangars and the capacity to accommodate 28 wide body and narrow body aircraft at any one time.
The projected 15% increase in additional capacity will contribute towards MAE’s growth plans and give it better economies of scale.
The additional capacity will also serve MAE well as it actively pursues 3rd party Maintenance, Repair and Overhaul (MRO) businesses with a target revenue of RM500 million this year.
It currently has more than 80 customer airlines including Air Atlanta, Lufthansa, Saudi Arabian Airlines, Jet Airways, Delta and GECAS, one of the world’s largest fleet owners and lessors.
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