MMAG acquires Boeing aircraft for RM110mil
In a filing with Bursa Malaysia, MMAG said the acquisition will allow the group to have greater flexibility in its fleet management whereby, upon obtaining full ownership, it may lease the aircraft to other entities within the group as needed.
'Further, the group may also lease the aircraft to other third-party operators, thereby enhancing its asset utilisation and generating an extra stream of income.'
It added that the acquisition will strengthen the group's position to respond to market opportunities swiftly.
MMAG is principally involved in the mobile and fulfilment business, courier and logistics business, including air cargo logistics services, and air freight business.
On April 9, the group obtained shareholders' approval to diversify its existing business operations to include the financial services business and aviation business.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Sun
3 hours ago
- The Sun
Malaysia aviation group's Boeing purchase funded by company, not taxpayers
KUALA LUMPUR: Malaysia Aviation Group's (MAG) acquisition of Boeing aircraft is a pre-planned business decision fully funded by the company, not taxpayers' money, as clarified by Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz. Responding to criticism, Tengku Zafrul emphasised that the purchase was announced in March, well before the US imposed new import tariffs. 'What does this purchase have to do with tariff negotiations?' he questioned in a post on X. The US introduced tariffs to address trade deficits, prompting Malaysia to highlight major planned purchases, including MAG's Boeing order. 'We are not making the purchase just to reduce tariffs,' he stated, adding that the move helped lower US tariffs on Malaysian goods from 25% to 19%. Prime Minister Datuk Seri Anwar Ibrahim had earlier confirmed MAG's order for 30 Boeing 737 aircraft, with deliveries expected by 2030. – Bernama
New Straits Times
5 hours ago
- New Straits Times
MAG's Boeing buy a strategic, self-funded move
KUALA LUMPUR: Malaysia Aviation Group's (MAG) purchase of Boeing aircraft is not a waste of taxpayers' money as alleged by certain quarters but rather a strategic business decision that was planned in advance and will be fully financed using the company's funds, said Tengku Datuk Seri Zafrul Abdul Aziz. The Investment, Trade and Industry Minister said the purchase decision had been announced as early as March this year, prior to United States (US) President Donald Trump's announcement of any new import tariff on goods. "So what does this purchase have to do with tariff negotiations? "The US imposed the tariffs partly due to the trade deficit. This means we sold more goods to the US than we bought from the country, so the US sought to reduce this deficit by imposing high tariffs of 25 per cent," he said in a post on his official X social media account yesterday. Hence, Tengku Zafrul said, Malaysia took the opportunity by listing all big-ticket purchases planned by Malaysian companies from the US, including the Boeing aircraft order. "We are not making the purchase just to reduce tariffs," he stressed. According to him, this demonstrated to the US that Malaysia is also a major buyer of its products, thus finally convincing the US to lower import tariffs on Malaysian goods from 25 per cent to 19 per cent. "This smart strategy is the result of careful negotiations, ensuring that the interests of both companies and the country are protected," he added. In March this year, Prime Minister Datuk Seri Anwar Ibrahim announced that MAG had placed a firm order for 30 Boeing 737 aircraft, scheduled for delivery by 2030. - BERNAMA
Focus Malaysia
a day ago
- Focus Malaysia
Ramasamy: US tariff reductions or strategic retreat? Malaysia's Boeing deal raises alarming questions
TRADE, Investment and Industry Minister Tengku Datuk Seri Zafrul Aziz proudly claimed that Malaysia did not cross any 'red lines' in negotiating the recent reduction of US reciprocal tariffs from 25% to 19%. Together with Prime Minister Datuk Seri Anwar Ibrahim, he painted a picture of tough, principled bargaining that delivered results without compromising national interests. However, this narrative quickly unravelled. In the same breath, Tengku Zafrul admitted that one of the conditions for the tariff reduction was Malaysia's agreement to purchase 30 Boeing planes valued at US$9.5 bil (RM40.63 bil) for the Malaysian Aviation Group (MAG). The order – placed as early as March this year – includes 18 Boeing 737-8 and 12 Boeing 737-10 planes. It is not only Malaysia that has been pushed into such purchases. Other countries that received tariff relief from the US have reportedly made similar orders. Still, it is deeply troubling that Malaysia was effectively coerced into buying Boeing planes just to satisfy Washington's terms. 'No such thing as free lunch' Aircraft procurement should be driven by national interest and value for money. Whether from Boeing in the US or Airbus in France, Malaysia ought to have pursued an open tender process to ensure competitiveness and transparency. Instead, it appears that the deal was dictated more by geopolitics than by sound economics. This situation raises a larger question: what other concessions did Malaysia make in return for the tariff reduction? Anwar's government has presented the tariff cut as a diplomatic victory. But the reality seems to be far more complex – and costly. There is no such thing as a free lunch with the US, especially under President Donald Trump's aggressive 'America First' trade policy. For Malaysia, the price of lower tariffs seems to have been the erosion of sovereign decision-making. This kind of transactional diplomacy reflects a new form of economic imperialism – one where tariffs are wielded as instruments of coercion to secure purchases of American products. In this light, Tengku Zafrul's claim that Malaysia did not cross any red lines rings hollow. Forcing a sovereign country to buy specific goods as a pre-condition for trade concessions is, by any standard, a breach of those red lines. It is time for both Anwar and Tengku Zafrul to come clean. Malaysians deserve to know the full extent of the concessions made in this tariff deal. Transparency is essential if public confidence in the government's foreign and trade policy is to be maintained. The issue here is not merely about trade or tariffs – it is about whether countries like Malaysia can truly chart an independent path in global economic affairs. Or are we destined to dance to the tune of powerful nations under the guise of diplomacy? As a Tamil proverb puts it: there must be a reason why the rat runs naked. The question is whether Malaysia has been exposed naked in the tariff reduction deal with the US? – Aug 2, 2025 Former DAP stalwart and Penang chief minister II Prof Ramasamy Palanisamy is chairman of the United Rights of Malaysian Party (Urimai) interim council. The views expressed are solely of the author and do not necessarily reflect those of Focus Malaysia. Main image credit: Tengku Zafrul/Facebook
