Pos Malaysia’s unit to divest 49pc stake in Pos Aviation Engineering to SIAEC

KUALA LUMPUR, Feb 13 — Pos Malaysia Bhd’s wholly-owned subsidiary, Pos Aviation Sdn Bhd, has entered into a share purchase agreement and a shareholders agreement with SIA Engineering Company Ltd (SIAEC) to divest 49 per cent equity interest in Pos Aviation Engineering Services Sdn Bhd for RM10.09 million.

Pos Aviation Engineering is a wholly-owned subsidiary of Pos Aviation.

In a filing with Bursa Malaysia today, Pos Malaysia said the proposed divestment will facilitate the entry of SIAEC, a major provider of aircraft, repair and overhaul (MRO), as Pos Aviation Engineering’s strategic partner.

This would 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, as well as tapping into new markets and distribution networks.

Pos Malaysia said upon completion of the proposed divestment, Pos Aviation and SIAEC will hold 51 per cent and 49 per cent equity interest, respectively, in Pos Aviation Engineering and the later would become a jointly-controlled entity of Pos Aviation.

The proposed divestment will not have any effect on the company’s issued and paid-up share capital and substantial shareholders’ shareholdings, as well as any material effect on Pos Malaysia Group’s consolidated earnings, gearing and net assets for the financial year ending Dec 31, 2020. — Bernama

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