KUALA LUMPUR (March 29): MMAG Holdings Bhd shares rose to a seven-month high of 19 sen on Friday, as investors appear to be drawn to the fully integrated supply chain management firm's investment of more than RM150 million in its aeroplane business arm.
MMAG was among the top active counters on Bursa Malaysia, its shares rising as much as 8.57% or 1.5 sen to 19 sen — its highest since Aug 23, 2023.
Trading volume increased more than six-fold its 200-day average with 54.77 million shares traded.
No institutional analyst covers the stock.
MMAG on Wednesday said that the company via its aviation arm MMAG Aviation Consortium Sdn Bhd (MAC) made an investment of over RM150 million to establish integrated facilities across its subsidiaries.
The investment is part of the group’s aim to be a key player in the transformation of the Kuala Lumpur International Airport (KLIA) into a premier regional air cargo hub, according to MMAG chairman Tan Sri Mohd Khairul Adib Abd Rahman.
Mohd Khairul announced the investment plan when officiating MAC and Ramadan Iftar on Wednesday at Sepang at a ceremony that was also graced by the Transport Minister Anthony Loke Siew Fook.
Currently, MAC offers a comprehensive suite of services through its subsidiaries, namely its air cargo terminal operator XCT Aviation Sdn Bhd, air cargo services MJets Air Sdn Bhd (formerly known as M Jets International Sdn Bhd), Oceanic Transshipment Sdn Bhd (oceanic transshipment hub, particularly for live seafood and perishable goods), and SkyVault Cargo Sdn Bhd (provides on-demand cargo and pallet warehousing services).
Also on Wednesday, MMAG signed a memorandum of collaboration (MOC) with Menzies Aviation (SG) Pte Ltd, part of Menzies Aviation Ltd, to establish a mutually beneficial collaboration in ground handling and aviation services, its filing to Bursa Malaysia showed.
“The board believes that the MOC has potential and would allow MMAG to achieve cost savings and operational efficiencies by optimising ground handling agreements and sharing resources through the collaboration with Menzies.
“By leveraging each other's expertise and resources, the collaboration is poised to streamline operations, enhance service quality and ultimately drive improved performance and competitiveness in the aviation sector,” it said.