SIA Engineering has won a bid for a 30% stake in the enlarged share capital of IPORT Group subsidiary Arport Aircraft Maintenance & Engineering (Fuijan) at a subscription consideration of 129 million Chinese yuan ($18.8 million).
This follows the company signing a non-binding framework agreement with Xiamen Iport Group in November 2024.
The bid was made via a public tender administered by Xiamen Equity Exchange Centre.
SIA Engineering intends to enter into agreements with the direct shareholders of Arport to effect the transaction and form a joint venture (JV).
This maintenance, repair and overhaul (MRO) JV will perform line maintenance and ground services at airports in Xiamen, Fuzhou, Wuyishan and Longyan, and base maintenance services at Xiamen airport.
SIA Engineering said it does not expect the transaction to have a “material impact" on the net tangible assets per share or the earnings per share of the SIAEC Group for the financial year ending March 31, 2026.