Singapore, 18 March 2015 – Singapore Technologies Engineering Ltd’s (ST Engineering) aerospace arm Singapore Technologies Aerospace Ltd (ST Aerospace) today announced that it has signed a joint venture agreement with Tenryu Holdings Co, Ltd (Tenryu) to set up ST Aerospace Aircraft Seats Pte Ltd (ST Aerospace Aircraft Seats). The joint venture will have a planned investment of $29.8m. ST Aerospace will own 90% of ST Aerospace Aircraft Seats’ shares, with the remaining 10% to be held by Tenryu.
Based in Singapore, ST Aerospace Aircraft Seats will be responsible for the end-to-end design and manufacturing of a range of aircraft seating solutions. The company’s long-term business roadmap will include a series of economy class, business, as well as first class seats. It will be marketed as part of ST Aerospace’s global network, working in tandem with the other network members to deliver an integrated cabin interiors offering.
ST Aerospace Aircraft Seats will leverage both ST Aerospace’s and Tenyru’s rich experience in the aerospace industry, to produce innovative seating solutions which are both aesthetically and technically viable.
“With the addition of ST Aerospace Aircraft Seats into our global network, this new joint venture will allow us to strengthen our foothold in the aircraft product development sphere and add a new dimension to our integrated cabin interiors offering. Through a single trusted provider, airline customers will experience streamlined aircraft downtime during cabin interior reconfiguration, resulting in enhanced operational efficiency.” ~ LIM Serh Ghee, President, ST Aerospace.
“This new JV strengthens our partnership with ST Aerospace, with whom we have established a long-standing relationship over the years. With our combined expertise, we are confident of carrying on with our tradition to deliver state-of-the-art cabin seating solutions to customers worldwide.” ~ Norio Fukunishi, President, Tenryu Holdings.
As a global aviation engineering and MRO leader, ST Aerospace has been steadily moving up the value chain to provide one-stop cabin interior solutions. This ranges from aircraft cabin design engineering and product installation; to aircraft modification and maintenance, engineering and certification.
As a cabin interiors integrator, ST Aerospace has completed cabin refurbishments for both commercial airlines and VIP customers, as well as turnkey cabin reconfiguration projects which have led to supplemental type certificates awarded by international airworthiness authorities. ST Aerospace also entered the product development sphere in 2012 with the launch of ‘Ergo’ - a comprehensive range of economy class seats jointly developed with Tenryu Aero Component, with patented designs which are among the lightest seats in its class.
Tenryu Holdings (Tenryu Holdings Co., Ltd) is a management company for Tenryu Group. Headquartered in Gifu, Japan, with a revenue of JPY1.97b in FY2013, Tenryu Group specialises in the development and manufacturing for transportation seats and provides seats to customers including the Japanese coach manufacturers, train manufacturers and airlines. The Group reported revenue of JPY15.9b in FY2013. Tenryu Holdings has a staff strength of 60 employees and Tenryu Group has a staff strength of around 900 employees in Japan.
The setting up of the joint venture is not expected to have any material impact on the consolidated net tangible assets per share and earnings per share of ST Engineering for the current financial year.
ST Aerospace (Singapore Technologies Aerospace Ltd) is the aerospace arm of ST Engineering with a revenue of $2.07b in FY2014. Operating a global MRO network with facilities and affiliates in the Americas, Asia Pacific and Europe, it is the world’s largest commercial airframe MRO provider with a global customer base that includes leading airlines, airfreight and military operators. ST Aerospace is an integrated service provider that offers a spectrum of maintenance and engineering services that include airframe, engine and component maintenance, repair and overhaul; engineering design and technical services; and aviation materials and asset management services, including Total Aviation Support. ST Aerospace has a global staff strength of around 8,000 employees worldwide. Please visit www.staero.aero.
ST Engineering (Singapore Technologies Engineering Ltd) is an integrated engineering group providing solutions and services in the aerospace, electronics, land systems and marine sectors. Headquartered in Singapore, the Group reported revenue of $6.54b in FY2014 and ranks among the largest companies listed on the Singapore Exchange. It is a component stock of the FTSE Straits Times Index, FTSE ASEAN 40 Index, MSCI Singapore and other indices. ST Engineering has about 23,000 employees worldwide, and over 100 subsidiaries and associated companies in 46 cities across 24 countries. Please visit www.stengg.com for more information.
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