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Sarawak is on track to finalise the full acquisition of MASwings Sdn Bhd by Dec 31 this year. Photo by MASwings (FB).

Sarawak on track to finalise MASwings acquisition by Dec 31

KUCHING, May 21: Sarawak is on track to finalise the full acquisition of MASwings Sdn Bhd by Dec 31 this year, marking a significant milestone in the state’s efforts to strengthen regional air connectivity through its airline, AirBorneo.

Sarawak Deputy Minister for Transport, Datuk Dr Jerip Susil, said following the signing of the Sale and Purchase Agreement (SPA) between AirBorneo Holdings Sdn Bhd and Malaysia Aviation Group (MAG) last February, both parties are currently working to fulfil the necessary conditions precedent before the transaction can be completed.

“This includes securing regulatory approvals from key aviation authorities such as the Civil Aviation Authority of Malaysia (CAAM), the Malaysian Aviation Commission (MAVCOM), the International Civil Aviation Organisation (ICAO) and the International Air Transport Association (IATA).

“The process also involves the transfer of operating assets from MAG to AirBorneo and preparations for a seamless transition of operations,” he said during the question-and-answer session at the State Assembly sitting today.

Dr Jerip was responding to a question from Datuk Seri Wong Soon Koh (GPS-Bawang Assan) whether the acquisition process of buying over MASwings has been completed and would the change in ownership disrupt the operation of the Rural Air Services (RAS).

The deputy minister said, despite the change in ownership, the RAS network which serves remote and underserved areas in Sarawak and Sabah, is expected to maintain its current schedule, frequency and coverage.

“MASwings’ entire workforce will be retained, and their experience will be instrumental in maintaining operational stability and service continuity during and after the transition,” he said.

Responding to Wong’s supplementary question, Dr Jerip said the current interim RAS agreement between the federal government and MASwings Sdn Bhd that was signed on Dec 19, 2024, will remain in force until its expiry this Dec 31.

Meanwhile, Sarawak Transport Minister Datuk Seri Lee Kim Shin said the state, together with AirBorneo, is engaging with the Malaysia’s Transport Ministry, relevant federal agencies and other key stakeholders to work out on the terms and conditions of a new RAS agreement.

He said this is to ensure a continued and uninterrupted air connectivity to the rural and remote communities in Sarawak and Sabah.

“This agreement includes that the Federal government continues to subsidise RAS because there will be new terms and conditions with AirBorneo,” he said when met by reporters at the sidelines of the sitting. – TVS

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