MMAG in RM11.43mil aircraft sale

By the Editorial Team · Tuesday, October 20, 2026

MMAG Holdings Bhd's indirect subsidiary, MJets Air Sdn Bhd, has agreed to sell its Boeing B737-400SF freighter aircraft to Mont Gabanon Airlines for US$2.8 million, incurring an estimated loss of RM12.69 million. The sale reflects MMAG's strategic move to reduce financial burdens and adapt to higher operating costs and weaker demand in the charter aviation market.

MMAG Holdings Bhd has agreed to sell its Boeing B737-400SF converted freighter aircraft for US$2.8 million (approximately RM11.43 million), recording an estimated loss of RM12.69 million on the transaction. The sale was announced in a filing to Bursa Malaysia, revealing that the company’s indirect subsidiary, MJets Air Sdn Bhd, entered into a purchase agreement with Mont Gabanon Airlines (MGA).

The aircraft was originally acquired in January 2025 for US$6.55 million and had an unaudited net book value of RM24.12 million as of September 30, 2026. MMAG attributed the disposal to a strategic review of its aviation assets in response to rising operating costs and softer demand in the charter sector.

The company noted that retaining the aircraft was no longer commercially sustainable without clear plans for its deployment. By proceeding with the sale, MMAG aims to alleviate its financial obligations and optimize its aviation business operations amid challenging market conditions.

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