Business

FGV to venture into aerospace & aviation logistics

The proposal being considered by FGV Holdings is part of its plan to achieve sustainable growth.

The proposal being considered by FGV Holdings is part of its plan to achieve sustainable growth.

Syndicated News
Written by Syndicated News

KUALA LUMPUR — May 12, 2016: Felda Global Ventures Holdings (FGV), through its unit, Felda Transport Services Sdn. Bhd. (FTSSB), plans to explore opportunities in the aerospace and aviation logistics industry in the quest to achieve sustainable growth.

The memorandum of understanding today (MoU) between FTSSB and Mara Liner Sdn. Bhd. (MLSB), a
wholly-owned subsidiary of Majlis Amanah Rakyat, is the first step towards the endeavour.

“It is timely for FGV and its related subsidiaries to expand our multimodal transport operations (MTO) business into the aviation and aerospace sector as Malaysia aspires to be the gateway to Asia, as well as Asean’s logistics hub,”
group president and chief executive officer Datuk Zakaria Arshad said at the signing.

The MoU will allow FTSSB and MLSB to leverage on the supply chain management capabilities of both parties, including the provision of ancillary support services involving engineering, hospitality, project management and IT system development support.

“Working with the Mara Group is one the best platforms for the company to expand its transport business higher up the value chain and beyond agriculture sector,” said Zakaria.

Last year, FTSSB recorded RM255.1 million in revenue, of which 37 per cent was contributed by MTO.

Mara director-general Datuk Ibrahim Ahmad said the MoU marked a significant collaboration that would boost growth and potential of the MTO segment of both companies.

It will also offer opportunities and boost economic activities for local entrepreneurs in engineering, hospitality, project management and other support services sector, he said. — Bernama

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