Destini Bhd Unit Teams Up With UK Firm In MRO Business
KUALA LUMPUR: Destini Bhd’s wholly-owned subsidiary, Destini Aviation Sdn Bhd (DASB), and Avia Technique Ltd, a company incorporated in England, have established a new joint-venture (JV) company.
In a filing to Bursa Malaysia on Tuesday, Destini said both companies, which signed a JV agreement on Monday, agreed to each hold a 50% stake in the JV firm.
Destini said the JV company would, among others, carry on the business of provision of inspection, repair and overhaul services of aircraft components.
With vast experience in the defence aviation maintenance, repair and overhaul (MRO) on safety and survival equipment, Destini said, it was positioning itself to expand its services into the commercial aviation sector.
Destini said the newly-formed joint venture would also provide component MRO for airline sector.
“Further advanced capabilities and product and services will be brought online as the joint venture develops,” it said.
Destini said the joint venture would carry out these activities in Malaysia and for purely airline customers for the Asean region.
“For India and Japan, it will be on a case-to-case basis,” it said.
Destini said DASB would benefit from new business opportunities in the commercial aviation MRO services, as the Asia-Pacific region would need about 13,000 new planes, worth US$1.9 trillion over the next decade.
Destini had recently acquired an 80% stake in SafeAir Technical Sdn Bhd, a company involved in the provision of aircraft MRO services both in Malaysia as well as the South-East Asian region.
“Barring any unforeseen circumstances and subject to the fulfilment of all the conditions set out in the JVA, the joint-venture is expected to be completed by the third quarter of the groups financial year ending Dec 31, 2015,” it said.
Avia’s principal business is the provision of inspection, repair and overhaul services of aircraft components for the commercial aviation sector.
Source : Bernama