Lion Air to establish $15m aviation school in Malaysia
Malaysian Prime Minister Najib Abdul Razak, center, along with Malaysian Transport Minister Kong Cho Har, left, and Malaysia's National Aerospace and Defence Industries Chairman Hashim Ali, right, witness the exchange of documents between Indonesia's PT. Lion Group's President Rusdi Kirana , front second from left, and Malaysia's NADI's President Ahmad Johan, front right, during a signing ceremony at a hotel on the outskirts of Kuala Lumpur, Malaysia on Tuesday. (AP/Vincent Thian)
Following its plan to set up an airline in Malaysia, PT Lion Mentari Airlines and its Malaysian business partner have allocated US$ 15 million to establish an aviation training center in the country.
The facility will be utilized as an education center for employees of its upcoming low-cost carrier, Malindo Airways, which will begin flights in May 2013.
“As with Malindo Airways, the training center will start operating next year,” stated the firm’s president director, Rusdi Kirana, as quoted by kontan.co.id on Wednesday.
Malindo Airways is 49-percent owned by Lion Air, with Malaysia’s National Aerospace & Defense Industries Sdn. holding the remainder.
In addition to the center, both companies will disburse $1.08 billion for aircraft procurement, making a total investment of $1.23 billion.
The newly established airline is predicted to be in direct competition with Malaysian budget airline giant, Air Asia Bhd.(yps)