PETALING JAYA: Sersol Bhd has signed an agreement with private jet terminal and luxury private jet operator MJets Ltd of Thailand for the Malaysian company’s venture into the private aviation industry.
In Malaysia, MJets will be based in Subang, alternatively Malacca, the companies said at a press conference after a heads of agreement (HoA) signing ceremony in Kuala Lumpur today.
Sersol and MJets will set up a joint-venture company that will offer aircraft charter services, ground-handling services, and aircraft management, and bring in a new fleet of private jets into Malaysia and Indonesia. It is a 50:50 equity split made up of cash and non-cash contributions.
Sersol group managing director Datuk Wira Justin Lim said both sides are hoping to tie everything up by July.
“Malaysia has a lot of private aircraft, but the facilities and the services are not up to standard. I feel maintenance, repair, and overhaul and FBO (fixed-base operator) in the Malaysian marketare not up to the standard they should be, which is why we have chosen MJets to be our alliance partner,” he said.
MJets CEO Natthapatr Sibunruang said his company is an expert in aircraft management and charter services.
“There’s no reliable operator, including the facility that serves up to the demand of the country. We plan to bring the same (of) what we (are) offering from Thailand to Malaysia. Access to private jets will be much easier for businessmen or wealthy people.
“Ninety per cent of our customers use our service for business purposes. Because it saves time. And you can travel whenever you want to travel,” he added.
Lim said the service will offer more competitive prices compared with other similar companies because of the efficiency of running the business.
Additionally, the companies believe passengers worldwide are seeking safer ways to travel without being exposed to infections since the Covid-19 pandemic hit.
Sibunruang said since Covid-19 broke out, the charter business has been surpassing pre-pandemic levels.
“Last year we flew more than we did in 2019. Demand is booming. The reason you don’t see them growing significantly (in this region) compared with Europe or the US is because of Covid-19 restrictions.”
Lim said: “The market for second-hand aircraft has seen a price increase of 30-35% recently because of the high demand. So aircraft prices are going higher because the demand is there. This is a very good time for us to set up this joint venture,” he added.
On environmental, social, and governance issues, both companies said they will provide the details in due time.
The HoA was signed by Sibunruang and Lim, and the signing was witnessed by Yang di Pertua Negeri of Malacca, Tun Mohd Ali Mohd Rustam.
