SIA Engineering Company Limited (SIAEC) has announced it is to lease two hangars located within Complex A of Sultan Abdul Aziz Airport in Subang, Malaysia, for a period of 15 years.
Each hangar can accommodate two widebody aircraft and will boost SIAEC’s airframe check capacity in providing comprehensive MRO of current and next-generation aircraft.
SIAEC states that the agreement marks a significant milestone as it establishes the company’s third base maintenance hub in the Asia-Pacific region.
Base Maintenance Malaysia Sdn. Bhd. (BMM), a wholly-owned subsidiary of SIAEC, has entered into the agreement with Impeccable Vintage Properties Sdn Bhd (IVP), a wholly-owned subsidiary of Malaysia’s sovereign wealth fund Khazanah Nasional Berhad.
The agreement includes an option to renew the lease for a further term of 15 years.
Chin Yau Seng, chief executive of SIAEC, said: “We believe that our investment in the Subang hangars complements our component and line maintenance joint ventures in Malaysia, allowing us to augment our extensive MRO offerings to our customers globally.
“With the expansion of our MRO network, this will further solidify our position as a leading provider of MRO services.”
Fuad Sharuji, chief executive of IVP, said: “With a proven track record in MRO business, SIAEC’s establishment in Subang, Malaysia, will further bolster the thriving growth of Malaysia’s aerospace industry in support of the Government of Malaysia’s aspirations to position Malaysia as a leading aerospace hub in Southeast Asia and also in line with the Selangor Aerospace Action Plan 2020-2030, Malaysian Aerospace Industry Blueprint 2030 and 12th Malaysia Plan.
“The lease of the two widebody hangars to SIAEC will further serve to benefit the local MRO industry and contribute to the Technical and Vocational Education and Training (TVET) programme of the local aviation institutions.”
Datuk Wira Arham Abdul Rahman, chief executive of the Malaysian Investment Development Authority (MIDA), said: “The formalisation of this lease agreement between SIAEC and IVP underscores a robust commitment from a prominent global aerospace MRO company like SIAEC to establish roots in Malaysia.
“It stands as a testament to the nation’s competitive edge in the aerospace ecosystem. SIAEC’s reputation in delivering comprehensive MRO solutions will contribute to bolstering Malaysia’s aerospace sector, establishing the nation as an ideal investment hub for aerospace companies seeking expansion within ASEAN and beyond.”
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