Vietjet invests 285 billion VND in new technical services company

Overview

Vietjet Air (VJC) has announced the establishment of a new technical services company, International Technical Services, with a capital contribution of 285 billion VND (approximately USD 11.4 million). The move is part of the airline’s strategy to enhance its aircraft maintenance capabilities and provide technical services to other carriers, both domestically and internationally.

Key Facts

• Vietjet’s board approved the capital contribution on August 19, 2026, via a resolution.
• Vietjet will hold 95% of International Technical Services, implying a charter capital of about 300 billion VND.
• The remaining 5% stake holder has not been disclosed.
• The new company aims to increase technical capacity, improve fleet maintenance self-sufficiency, and optimize operating costs.
• In August 2025, Vietjet broke ground on a maintenance center at Long Thanh airport with a total investment of nearly USD 100 million.
• The Long Thanh center includes hangars 3 and 4, capable of servicing 10 narrow-body or 6 narrow-body plus 2 wide-body aircraft simultaneously.
• In May 2026, Vietjet signed an agreement with Thailand’s Eastern Economic Corridor Office to develop an MRO center at U-Tapao International Airport.

What Happened

Vietjet’s board of directors has approved a plan to contribute 285 billion VND to establish International Technical Services, a new company in which Vietjet will hold a 95% stake. The resolution, dated August 19, 2026, sets the expected charter capital at 300 billion VND. The identity of the minority shareholder holding the remaining 5% has not been announced.

According to Vietjet’s announcement, the establishment aims to strengthen technical capabilities, increase proactiveness in fleet maintenance, and optimize operational costs. In the longer term, the new entity is expected to provide technical services to other domestic and international airlines.

This move follows a series of related investments. In August 2025, Vietjet commenced construction of an aircraft maintenance technical center at Long Thanh airport, with a total investment of nearly USD 100 million. The project, covering 8.4 hectares, was designed and supervised by UK’s Mace and France’s Apave, and topped out in December 2025. In April 2026, Sovico and Vietjet proposed additional investments in equipment maintenance areas, warehouses, and essential services at Long Thanh. Internationally, in late May 2026, Vietjet signed a deal with Thailand’s Eastern Economic Corridor Office to develop an MRO center at U-Tapao International Airport.

Market Context

VJC shares closed at 123,100 VND on August 19, 2026, on the HOSE. The stock has been supported by Vietjet’s aggressive expansion, including fleet growth and new maintenance ventures. The aviation sector in Vietnam is recovering strongly, with rising passenger traffic and increasing demand for MRO services. Vietjet’s move into technical services aligns with the industry trend toward vertical integration and cost control.

Strategic Significance

For long-term investors, this development signals Vietjet’s ambition to become a regional MRO player, not just an airline. By establishing International Technical Services, Vietjet aims to reduce its dependence on third-party maintenance providers, potentially lowering costs and improving turnaround times. The new company could also generate additional revenue by servicing other airlines, leveraging the capacity of the Long Thanh center and the U-Tapao project. This strategic pivot could enhance Vietjet’s competitive position and profitability over the long term.

What to Watch

• Disclosure of the 5% minority shareholder in International Technical Services.
• Progress of the Long Thanh maintenance center and its operational start date.
• Development of the U-Tapao MRO center and any additional international partnerships.
• Vietjet’s quarterly earnings reports to assess the financial impact of the new subsidiary.
• Regulatory approvals for the proposed additional investments at Long Thanh.