KUALA LUMPUR: Efinair MyJet International Sdn Bhd (Efinair) aims to raise about RM300 million proceeds from its initial public offering (IPO) on the main market of Bursa Malaysia representing up to 15 per cent of the company’s stake.
Chief executive officer Muhammad Fadzil Abdullah said Efinair’s debut on the local bourse likely to materialise in the next five to 10 years, allowing the company to acquire new aircraft and expand its private jet charter services beyond Asia and the Middle East.
"The proceeds would be utilised as our capital investment to enhance our overall operations and services, providing sophisticated and exclusive aircraft to local customers with affordable charter rate,” he told the New Straits Times in an interview recently.
He said the private air charter services has been growing locally as more corporates and high net worth individuals prefer to use this mode of transportation for both business and leisure trips.
“Our usual clients would want to get the best quality of time and return on investment (ROI) by travelling on a private jet as their main transportation.
“They are more concerned of the necessities having to arrive on time, avoiding departure and arrival standard operating procedures (SOPs) at the airport, as well as potential delays,” he added.
Among its on-demand destinations include the Middle East countries such as the United Arab Emirates, Oman, Bahrain and Jordan as well as in Asia region like Hong Kong, Singapore, Brunei and Indonesia.
Muhammad Fadzil said Efinair had planned to acquire three Boeing business jets in the next five years via leasing or direct purchase, which could cost the company about US$100 million.
“Currently, we have two aircraft (Gulfstream G500 and Bombardier Global 5000) in operation locally based at the Subang Skypark Terminal. With the potential of having new aircraft, we can expand our executive airline division beyond Asia and the Middle East to Europe directly,” he said.
He said the private air charter services market was booming, supported by Malaysia Airports Holdings Bhd’s (MAHB) initiative to position Malaysia as the country’s first business aviation hub and terminal at the Subang Skypark Terminal within the next three years.
The proposed dedicated terminal was also part of the Subang Regeneration Initiative with the aim of attracting the number of business jets from 50 to more than 150 jets in the next five years.
“The government provides good infrastructure for private jet operators. We look for long-term sustainability to create client loyalty, to be part of our business community.
“We have sufficient corporate clients and plan to introduce a membership programme next year for customers to redeem their air mileage points,” he said, adding that this would enable the company to excite existing and potential customers.
Muhammad Fadzil said the company is confident of strengthening its local presence and expanding its operation backed by its on-going effort in offering attractive charter rate and packages.
“However, the rate depends on the destination and aircraft type. We offer reasonable rate in the region as we believe many people would prefer travelling on a private jet.
“Owning a jet is costly. Hence, we offer a ‘MyJet’ concept that makes customers feel they own the jet, allowing them to customise their traveling experience,” he said.
Muhammad Fadzil said the concept also save customers’ expenditure in maintaining an aircraft including hangar rental, fuel and pilot or crew members.