(From Left) Mr Wong Yue Jeen, Chief Commercial Officer of SIA Engineering Company, Mr Chin Yau Seng, Chief Executive Officer of SIA Engineering Company, Mr Stéphane Cueille, Chief Executive Officer of Safran Aircraft Engines, and Mr Nicolas Potier, Executive Vice President Support & Services of Safran Aircraft Engines, at the joint venture agreement signing event in Paris.


SINGAPORE, 6 JUNE 2026 - SIA Engineering Company Limited (SIAEC) and Safran Aircraft Engines have entered into a joint venture agreement to establish a dedicated CFM LEAP engine maintenance, repair and overhaul (MRO) facility in Singapore. The partnership marks a significant milestone in their collaboration to strengthen global support for LEAP-1A and LEAP-1B engine maintenance, while enhancing Singapore’s position as a key aerospace MRO hub in the Asia-Pacific region.

The joint venture builds on an earlier letter of intent signed in November 2025 and represents the next phase of cooperation between the two companies. The new facility will integrate SIAEC’s existing LEAP Quick Turn maintenance operations at its Changi North Aircraft Engine Services facility into the joint venture, forming the foundation of a state-of-the-art engine MRO centre. This expansion is expected to increase shop visit capacity and broaden the scope of services available for the rapidly growing global LEAP engine fleet.

Under the agreement, Safran Aircraft Engines will hold a 51% majority stake in the joint venture, while SIAEC will retain a 49% share. The initial issued capital of the new entity is USD 100, with both parties committing additional phased investments of up to USD 118 million collectively. SIAEC’s total contribution is capped at approximately USD 57.8 million, which includes both cash and in-kind contributions, while Safran Aircraft Engines will invest up to USD 60.2 million.

The collaboration brings together Safran Aircraft Engines’ original equipment manufacturer (OEM) expertise with SIAEC’s established MRO capabilities, aiming to deliver high-quality, efficient, and reliable engine support services. According to SIAEC Chief Commercial Officer Wong Yue Jeen, the joint venture enhances the company’s next-generation engine maintenance capabilities and strengthens its role in meeting global demand for LEAP engine support.

Safran Aircraft Engines Executive Vice President for Support & Services, Nicolas Potier, highlighted that the partnership reinforces the company’s global MRO ecosystem and ensures better support for airline customers as demand for LEAP engine maintenance continues to rise, particularly in the Asia-Pacific region. The joint venture is expected to improve operational efficiency for airlines by providing closer access to advanced maintenance services and reducing turnaround times.

The financial impact of the transaction is also expected to be positive for SIAEC, with projections indicating an increase in earnings per share and net asset value if the full investment is accounted for. The completion of the deal remains subject to regulatory approvals and other standard conditions.

Importantly, the initiative will not only expand technical capabilities but also support Singapore’s long-term positioning as a global aerospace maintenance hub. By combining expertise, infrastructure, and investment, the partnership aims to meet the rising global demand for LEAP engine MRO services while driving innovation and efficiency in next-generation aircraft engine maintenance.