AirBorneo set to take flight by end-2025 following MASwings acquisition

Borneo Post

5 days ago

Lee speaking during a press conference held in the State Legislative Assembly building today. – Photo by Roystein Emmor
KUCHING (May 26): Sarawak's very own airline, AirBorneo, is on track to officially take to the skies by the end of 2025, following the full acquisition of MASwings Sdn Bhd from Malaysia Aviation Group (MAG), said Sarawak Transport Minister Dato Sri Lee Kim Shin.
According to him, the Share Purchase Agreement between the Sarawak Government and MAG was signed on Feb 12 this year, with the legal and beneficial ownership of MASwings expected to be transferred to AirBorneo Holdings Sdn Bhd by Dec 31, 2025.
'All stakeholders are actively working to fulfil the necessary regulatory, operational and legal requirements during this transition period to ensure a seamless handover.
'AirBorneo will also focus on enhancing regional and international air connectivity, while continuing to serve rural areas under the Rural Air Services (RAS),' he added in his ministerial winding-up speech at the State Legislative Assembly (DUN) sitting today.
A key initiative during the rebranding process is the AirBorneo Logo and Livery Design Competition, which launched on March 5 and attracted nearly 1,000 entries.
He said the winning design will reflect Sarawak's rich cultural heritage and forward-looking vision.
'AirBorneo is poised to strike a balance between improved connectivity, affordable fares, and economic benefits. This positions Sarawak as a key player in the regional aviation industry,' he said.
Apart from that, he said to ensure service continuity, all MASwings staff will be retained post-acquisition, leveraging their experience to maintain reliability.
He also assured that the schedule, frequency and routes under the RAS network will remain unchanged during and after the transition.
As of the first quarter of 2025, MASwings recorded 191,837 passengers and 26.6 tonnes of cargo across its RAS routes, with 8,670 aircraft movements, underscoring the importance of rural connectivity in Sarawak.
Meanwhile in his speech, Lee also highlighted a strong rebound in Sarawak's air traffic, with 30,980 aircraft movements and 2.5 million passengers recorded in the first quarter of 2025, which is an eight per cent increase compared to the same period last year.
'Air cargo movements also surged by 23.3 per cent to 14,438 tonnes, driven by rising demand for electronics, oil and gas equipment, e-commerce goods, perishables and general cargo.
'Internationally, Sarawak currently sees 37 international flights per week, while domestic routes from other Malaysian states contribute an average of 427 weekly flights. Kuching International Airport remains the busiest hub with 216 weekly flights, followed by Miri (99), Sibu (55), and Bintulu (45),' he said.
In a related development, Lee announced that Batik Air will launch a new Subang–Kuching route starting July 28, 2025.
On intra-state connectivity, Sarawak recorded an average of 620 domestic flights weekly in the first quarter, linking urban centres with rural settlements.
'Miri leads with 181 flights per week, followed by Kuching (142), Sibu (66), and Bintulu (40). These routes are served by AirAsia, Firefly, and MASwings,' he said.
Lee also said that with AirBorneo and robust air connectivity growth, Sarawak is laying a strong foundation for inclusive, sustainable development and a thriving aerospace industry. AirBorneo DUN sitting lead Lee Kim Shin MASWings Sdn Bhd