Malaysia Aviation Group Agrees to Acquire Sepang Aircraft Engineering from Airbus

Malaysia Aviation Group has signed an agreement to acquire Sepang Aircraft Engineering from Airbus, expanding the group’s maintenance capabilities and its presence in the third-party MRO market.

Sepang Aircraft Engineering is currently a wholly owned Airbus subsidiary. The proposed acquisition will add its A320 maintenance expertise, dedicated aircraft paint hangar and specialized component repair capabilities to MAG’s existing engineering operations.

MAG plans to combine SAE’s capabilities with those of MAB Engineering, creating a broader maintenance platform serving both the group’s own fleet and third-party airline customers across Southeast Asia and other international markets.

The acquisition forms part of MAG’s Long-Term Business Plan 3.0, which includes expanding aviation services outside its core airline operations and increasing third-party revenue. The group also sees the transaction as supporting Malaysia’s development as a regional aerospace and MRO center.

Financial terms of the transaction were not disclosed.

Completion is targeted for 2027 and remains subject to customary conditions, including approval from the Civil Aviation Authority of Malaysia.