SINGAPORE - SIA Engineering and Boeing have received the all-clear to set up a new firm that will provide aircraft maintenance, repair and overhaul services.

In giving the green light, the Competition Commission of Singapore said on Thursday that the proposed joint venture "will not substantially lessen competition in any market in Singapore" and therefore will not infringe any competition rules.

The new firm aims to offer services to the Singapore Airlines (SIA) group and other third-party customers primarily based in the region.

Aircraft maker Boeing will own 51 per cent of the company with SIA Engineering taking the remaining stake.