SARAWAK is on course to finalise its full acquisition of MASwings Sdn Bhd by 31 December 2025, as part of the state’s broader ambition to enhance regional air connectivity under its own airline, AirBorneo.
Deputy Minister for Transport, Datuk Dr Jerip Susil, said the acquisition process is progressing smoothly following the signing of the Sale and Purchase Agreement (SPA) between AirBorneo Holdings Sdn Bhd and Malaysia Aviation Group (MAG) in February this year.
“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),” Bernama reported him telling the Sarawak State Assembly on Tuesday.
Dr Jerip added that the process also involves the transfer of operating assets from MAG to AirBorneo and operational preparations to ensure a seamless transition.
He was responding to a question from Datuk Seri Wong Soon Koh (GPS–Bawang Assan), who had asked whether the acquisition had been finalised and if the change in ownership would disrupt the Rural Air Services (RAS) operations.
Despite the change, Dr Jerip assured that the RAS network—which serves remote and underserved areas in Sarawak and Sabah—will retain its existing routes, schedules and frequency.
“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 a supplementary question, Dr Jerip confirmed that the current interim RAS agreement between the federal government and MASwings, signed on 19 December 2024, will remain in effect until it expires on 31 December 2025.
Meanwhile, Sarawak Transport Minister Datuk Seri Lee Kim Shin said negotiations are ongoing with the Ministry of Transport and other federal agencies to establish a new RAS agreement that reflects the transition to AirBorneo.
“This agreement includes that the federal government continues to subsidise RAS because there will be new terms and conditions with AirBorneo,” he told reporters on the sidelines of the assembly sitting.
Lee emphasised that ensuring uninterrupted air connectivity for rural and remote communities in Sarawak and Sabah remains a key priority. - May 21, 2025
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