KLIA, 1 October 2026 – Malaysia Aviation Group (MAG) has signed a Sale and Purchase Agreement (SPA) with Airbus for the acquisition of Sepang Aircraft Engineering (SAE), a wholly owned subsidiary of the Airbus Group. The proposed acquisition marks a strategicmilestone under MAG’s Long-Term Business Plan 3.0 (LTBP 3.0), supporting the Group’sstrategy to strengthen its engineering and maintenance capabilities, expand its integratedaviation services portfolio and accelerate the growth of third-party revenue.
Captain Nasaruddin A. Bakar, President and Group Chief Executive Officer of MAG, said,“It has been a challenging year for the aviation industry, with a constantly changing globalenvironment, volatile fuel prices putting immense pressure on the sector, and challenges that have tested us in many ways. Against this backdrop, as we execute LTBP 3.0, weremain focused on making disciplined investments in areas where we see a clear pathwayto sustainable value creation. This means being deliberate about where we deploy capitaland prioritising opportunities that strengthen our core businesses, diversify revenue andsupport the Group’s long-term growth aspirations.
The proposed acquisition reflects this approach. It builds on our established engineeringand maintenance foundations, positioning MAG to capture opportunities in the growingMRO market and meet increasing third-party demand. SAE further complements MAB Engineering’s existing capabilities through its A320 expertise, dedicated paint hangar andspecialised component repair services, while building on the strong technical, operationaland quality foundations developed under Airbus’ stewardship.
Together, these strengths will enable MAG to offer a broader suite of MRO solutions and better serve existing and new third-party customers across ASEAN and beyond. At the same time, we are leveraging Malaysia’s competitive cost-to-skill advantage and established engineering expertise to support the country’s accelerated ambition tobecome a leading regional aerospace hub – strengthening Malaysia’s position and drivingthe continued growth of the national aviation ecosystem.”
The transaction remains subject to the fulfilment of customary Conditions Precedent, including approval from the Civil Aviation Authority of Malaysia (CAAM).
MAG will continue to work closely with SAE, CAAM and other relevant stakeholders to facilitate the necessary approvals and ensure a smooth completion of the transaction targeted for 2027.