PETALING JAYA: Pos Malaysia Bhd is divesting its 49% stake in Pos Aviation Engineering Services Sdn Bhd to SIA Engineering Company Limited (SIAEC) for RM10.09 million cash.
Pos Aviation Engineering, which is involved in the provision of aircraft maintenance and engineering services, recorded a loss after taxation of RM1.67 million for the financial year ended March 31, 2019 against RM25.71 million in revenue.
Pos Malaysia told Bursa Malaysia that its wholly owned subsidiary Pos Aviation Sdn Bhd had entered into a share purchase agreement and a shareholders agreement with SIAEC for the deal.
SIAEC is a provider of aircraft maintenance, repair and overhaul (MRO) services in Asia Pacific with a client base of more than 80 international carriers and aerospace equipment manufacturers.
Upon completion, Pos Malaysia will hold the remaining 51% stake in Pos Aviation Engineering.
“The proposed divestment will facilitate the entry of SIAEC as Pos Aviation Engineering’s strategic partner and allow Pos Aviation Engineering to expand its customer base by enhancing its technical expertise in the aviation sector, expanding its product offerings and diversifying into new lines of MRO, and tapping into new markets and distribution networks,” it said.
