Edited By: Sheera Abg Mansor
KUALA LUMPUR: SMTrack Bhd is venturing into the low-cost airline business after signing a memorandum of understanding with Dexma Express Sdn Bhd for potential investment in the upcoming Citilink Malaysia operation.
SMTrack, which provides radio frequency identification (RFID) solutions, is buying a 60 per cent stake in Citilink Malaysia for RM3.5 million.
According to Jay Hoo Ying Wah, a representative from SMTrack, as quoted in New Straits Times, Dexma would change its name to Citilink Aviation Malaysia Sdn Bhd and obtain air operator certificate and other licences or permits required.
Hoo said Citilink Aviation will start providing low- cost flights starting with a flight from Kuala Lumpur to Phnom Penh, Cambodia in the second quarter of 2019.
Quoting Dexma director Alvin Heng Jee Zhi, New Straits Times said they are not only competing to provide affordable flight tickets but also better service.
Source: New Straits Times