Asia Digital Engineering secures US$100 million to expand MRO capacity

Asia Digital Engineering (ADE), the engineering and maintenance subsidiary of Capital A Bhd, has secured a US$100 million (about RM446 million) investment from OCP Asia Ltd to accelerate the growth of its maintenance, repair and overhaul (MRO) business.

According to Capital A, the funding will be used to construct and operationalize a new 14-line aircraft maintenance hangar facility in Sepang, Malaysia. The state-of-the-art complex is intended to support heavy maintenance for AirAsia Group airlines as well as third-party carriers, and is expected to significantly increase ADE’s throughput.

Officials have indicated that the investment will also support ADE’s broader expansion plans, with the new facility designed for scalability of up to 20 maintenance lines over time. The company expects the enlarged footprint to contribute meaningfully to Capital A’s earnings as it captures a larger share of regional MRO demand.

Malaysia’s MRO market is projected to grow from about US$1.5 billion to US$2.5 billion by 2026, providing a favorable backdrop for the project. Industry observers see the Sepang development as positioning ADE to tap rising aircraft maintenance requirements in Southeast Asia, where fleet growth and post-pandemic recovery are driving increased demand for MRO services.