SIA Engineering Company (SIAEC) has signed a legally non-binding framework agreement with Xiamen Iport Group (Iport) for SIAEC to explore investing in Airport Aircraft Maintenance and Engineering (Arport AME), a subsidiary of the Iport group providing line maintenance and ground services in airports in Fujian, China.
This follows the announcement of the signing of the memorandum of understanding (MOU) between the two companies on Sept 4, 2023, to explore maintenance, repair and operations (MRO) opportunities in Fujian.
Iport owns and operates airports in Xiamen, Fuzhou, Wuyishan and Longyan, with Arport AME performing line maintenance and ground services at these four airports.
Leveraging SIAEC's MRO service offerings and maintenance capabilities as well as Iport’s infrastructure and resources in Fujian, both parties will look to grow Arport AME’s existing MRO business to include base maintenance and other services.
With the agreement, both parties will progress towards the finalisation and signing of definitive agreements, subject to meeting regulatory requirements and obtaining the necessary approvals.
As at 4.21 pm, shares in SIAEC are trading 4 cents lower or 1.65% down at $2.38.
