Malaysia Aviation Group to acquire Sepang Aircraft Engineering from Airbus
FL Technics Indonesia signs MRO deal for GE Aerospace avionics support
By Asian Aviation Staff
•Oct 4, 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. Financial terms were not disclosed. The proposed acquisition marks a strategic milestone under MAG’s Long-Term Business Plan 3.0 (LTBP 3.0), supporting the Group’s strategy to strengthen its engineering and maintenance capabilities, expand its integrated aviation 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 global environment, 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, we remain focused on making disciplined investments in areas where we see a clear pathway to sustainable value creation. This means being deliberate about where we deploy capital and prioritising opportunities that strengthen our core businesses, diversify revenue and support the Group’s long-term growth aspirations. The proposed acquisition reflects this approach. It builds on our established engineering and maintenance foundations, positioning MAG to capture opportunities in the growing MRO market and meet increasing third-party demand. SAE further complements MAB Engineering’s existing capabilities through its A320 expertise, dedicated paint hangar and specialised component repair services, while building on the strong technical, operational and 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 to become a leading regional aerospace hub – strengthening Malaysia’s position and driving the 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. FL Technics Indonesia signs MRO deal for GE Aerospace avionics support FL Technics Indonesia has signed a service support agreement with GE Aerospace for avionics systems, covering Boeing 737 and Airbus A320 aircraft at its Jakarta and Bali facilities. The agreement brings GE Aerospace’s technical support directly into FL Technics Indonesia’s hangars at Soekarno-Hatta International Airport and I Gusti Ngurah Rai International Airport, giving airline operators easier access to specialized avionics maintenance. “Avionics is the backbone of aircraft systems, an area we’re always working to keep at the highest standard, with the best resources and expertise behind it,” said Martynas Grigas as Chairman of FL Technics Indonesia. “This partnership with GE Aerospace lets us bring an added layer of expertise directly into our operations. It’s part of how we keep improving our service with high safety standards and reliable maintenance solutions as our airline customers’ operational needs evolve.” Matt Burns, General Manager of Avionics for GE Aerospace said: “We are proud to work with FL Technics Indonesia as it expands its capabilities in a dynamic and growing aviation market. This agreement reflects GE Aerospace’s commitment to supporting customers in Indonesia and across the region with avionics expertise that support safe, reliable, and efficient operations.” For Editorial Inquiries Contact: Editor Matt Driskill at [email protected] For Advertising Inquiries Contact: Head of Sales Sally Passey at [email protected]
Asian Aviation staff is comprised of award-winning journalists based throughout the Asia-Pacific region led by Editor Matt Driskill. 《亚洲航空》的编辑团队由主编马特·德里斯基尔 (Matt Driskill) 带领,汇聚了遍布亚太地区的获奖记者。
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