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Published: 07 February 2023

MGS Group Gets the Honour of being the 1 000th Financial Services Contract Signed for Scania Credit Malaysia

MGS Group of Companies (MGS) gets the honour of being the milestone 1 000th Financial Services contract signed with Scania Credit Malaysia (SCMY) at Scania Malaysia Senai Sales and Services Centre today. Anson Phua, Country Manager of SCMY and Teh Chin Hua, Group Director of MGS exchanged the signed documents in a ceremony that was witnessed by Teh Boon Huei, Tay Wei Kian, Tay Tang Hock and Jordon Tay Jie Min, all Directors of MGS. In conjunction of the signing ceremony, a delivery of six Scania prime movers from an order of 15 units of G410A6x2NZ were also held with Heba El Tarifi, Managing Director, Scania Southeast Asia handing over the key to Teh Chin Hua, Group Director of MGS. MGS will continue to enjoy the best reliability, fuel-efficiency, reduced CO2 emission, increased frequency of payload and uptime.

SCMY offers a range of flexible and comprehensive financial solutions that offer MGS predictable costs and manageable risks over the entire life cycle of their vehicles. SCMY also provide attractive hire purchase financing packages for five years to MGS as its qualified for acquisition of all its Scania trucks. MGS has ownership without heavy capital outlay. With payment of a flexible deposit, MGS will then commit to a fixed monthly payment over a period of five years. The prime movers will appear as assets on MGS’ balance sheet and will take full ownership once all scheduled payments have been made. Additionally, MGS have the option to go for insurance coverage as well.

The R&M contract subscription will give MGS worry-free operation due to predictable costs for five years. MGS will be able to focus on its business with planned downtime giving maximum uptime due to precise scheduling for repairs and maintenance, eliminating disruptions for worry-free daily operations. The Scania G410 is also designed and engineered to give MGS better fuel efficiency, thus lowering CO2 emissions as it is equipped with advanced powertrain and aerodynamic solutions that gives 3 percent improved fuel economy. The pre-set Economy Mode default, in the Scania G410 that comes with Opticruise, saves even more fuel. Data from the Fleet Management System Control 10 will ensure improved driving skills through tracked reports of the drivers which will also contribute to further fuel savings. As for safety, the Electronic Braking System (EBS), Anti-lock Braking System (ABS) with traction control, hill hold for steep road stoppages, and the large windscreen for better angled visibilities make the G410 one of the best in the market. Finally, the ergonomic dashboard and the sleeper cabin spoils the drivers silly making driving and resting a real joy. 

“We have been a customer of Scania for a very long time and SCMY has been supporting us since January 2014 when we signed-up for our first hire purchase agreement. We have benefitted from the flexible deposit and fixed repayment programme giving us accurate budgeting. The financed vehicles show as an asset in our balance sheet; interest charges are allowable against tax. Through the custom-built financial plans that SCMY have devised for us, we are able to focus on running the business with peace-of-mind due to predictability of costs. This is one of the main reasons why we continue to invest in the Scania trucks,” said Teh Chin Hua.

Established in 1987, with more than 30 years of experience and expertise in the logistic and freight services, MGS Group is committed to provide services that exceeds clients’ expectation by providing quality one-stop solutions that serve its clients’ transportation and shipping needs from more than 100 different industries. MGS Group and its seven subsidiary companies operate primarily in six different locations throughout Peninsular of Malaysia and Singapore with its headquarters based in Muar, Johor. MGS is a one-stop logistic solutions covering broad range of services from freight transportation, shipping, supply chain management, custom clearance to warehousing and distribution. MGS provide comprehensive logistic services across the whole of Malaysia and worldwide, fulfilled by its owned in-house network and collaborative transportation with its international and local partners.

“We truly appreciate MGS for having faith in our financial proposal and understand the need for SCMY support in MGS’ expansion plans. We give our assurance that we are always ready to back MGS with SCMY’s customise proposal that will secure sustainability and profitability for its business,” stated Anson.