KUALA LUMPUR: MMAG Holdings Bhd
’s indirect wholly-owned subsidiary, MMAG SkyAssets Ltd, has entered into a conditional aircraft sale agreement to acquire a Boeing 737-800BCF freighter for US$25.9 million (RM109.85 million) cash.
MMAG said the agreement was signed on July 23 with GASL Ireland Leasing A-1 Ltd (GASL) for the purchase of the aircraft bearing manufacturer serial number 29670.
It said the aircraft, manufactured in 2005, is currently operated by MJets and used for freight under a lease agreement with GASL. "The purchase consideration was arrived at on a willing-buyer willing seller basis,” the company told the stock exchange in a filing.
According to MMAG, the payment will be made in stages, including an upfront deposit of US$12.5 million, followed by monthly instalments and a final payment on the delivery date, scheduled for the fourth quarter of 2026. "The purchase consideration is expected to be funded via a combination of internally generated funds, bank borrowings and/or other funding alternatives,” it said.
MMAG said the deal remains subject to shareholders’ approval at an upcoming extraordinary general meeting and approvals from the Labuan Financial Services Authority and other relevant regulators.
"The board, after considering all aspects of the proposed acquisition, including the key terms of the sale agreement, its rationale, potential effects, the group’s current and future financial position, and the outlook for the aviation industry, is of the view that the acquisition is in the best interest of the company,” it said. - Bernama
