By Maria Kalamatas – The Logistic News, March 14, 2025
Malaysia-based Sin-Kung Logistics Bhd (SKL) has successfully completed the acquisition of Prima Air Sdn Bhd (PASB) for RM20.7 million, marking a major step in its expansion into the air cargo sector.
In an official statement released on March 13, SKL confirmed that the acquisition had been finalized:
“The Board wishes to announce that the Proposed Acquisition has been completed on 13 March 2025, following the full settlement of the Balance Purchase Consideration to the Vendors.”
With this transaction, PASB is now a wholly-owned subsidiary of SKL, strengthening SKL’s ability to offer comprehensive air and ground logistics solutions.
A Strategic Move into Air Cargo
The acquisition, first announced on October 2, 2024, aligns with SKL’s broader strategy to diversify its service offerings beyond its traditional trucking and road feeder services. SKL specializes in airport-to-airport road feeder services, container haulage, warehousing, and distribution. By acquiring PASB, SKL aims to enhance its capabilities in cross-border air cargo, air charter services, and interline agreements with airline partners.
PASB is primarily engaged in the sale and leasing of aircraft and holds both an Air Service Permit (ASP) and an Air Operator Certificate (AOC)—valid until March 31, 2025, and December 31, 2025, respectively. These certifications position SKL to enter the non-scheduled commercial air transport sector, providing new revenue streams and service capabilities.
Enhancing Regional and International Logistics
According to SKL, the acquisition provides a strategic advantage in the rapidly growing e-commerce, electronics, and perishable goods sectors. The company expects increasing demand for efficient, multimodal logistics solutions and aims to establish a strong foothold in cross-border air logistics.
“The Proposed Acquisition offers a strategic opportunity to acquire PASB, which holds the Air Service Permit and Air Operator Certificate that will allow SKL and its subsidiaries to expand service offerings to include private jet charter as well as air freight cargo services for airlines and freight forwarders,” SKL stated in its initial announcement.
Additionally, SKL plans to leverage PASB’s assets to establish a cargo interline partnership with airline customers. This will enable SKL to transport shipments on underserved routes, thereby expanding its logistics network across Malaysia, Singapore, and beyond.
Positioning for Long-Term Growth
The move to integrate air cargo services into SKL’s portfolio is expected to provide a full supply chain solution for its local and international freight forwarding clients. The acquisition strengthens SKL’s competitive position by creating synergies between its airport-to-airport trucking services and new air feeder operations.
“Following the completion of the Proposed Acquisition, SKL Group is able to offer air feeder services and expects to enter into cargo interline agreements to transport shipments on key trade routes,” the company stated.
As SKL positions itself to compete with leading multimodal logistics providers, the acquisition of PASB is expected to unlock new opportunities in the regional logistics market, reinforcing SKL’s role as a key player in Malaysia and Southeast Asia.
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