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Home Lifestyle

AirAsia Plans To Take Over Malaysia Airlines From Khazanah Nasional

by Syahrul
January 22, 2020
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In case y’all missed it, rumours are flying that Malaysian Airlines Bhd (MAB) is currently open for acquisition. To everyone’s surprise, rival company AirAsia Group Sdn Bhd is also among others interested in buying the ailing airline company.

As reported by Focus Malaysia, Khazanah Nasional (major shareholder) would have to spend RM8 billion if AAGB successfully acquired MAB. The total amount covers various aspects such as RM5.4 billion worth of A380 (6 in total), a number of operating costs and cancellation for their Boeing 737 Max 8 orders (25 in total), among others.

Sources: MMO, VOCKET

Word has it that CEO Tan Sri Tony Fernandes has begun to show his interest in the acquisition to Khazanah’s director Datuk Shahril Ridza Ridzuan, labelling the project as a “merging acquisition”. However, ongoing discussion is being carried out in order to reach an agreement between both sides.

According to Prime Minister Tun Mahathir Mohamad, it was reported that they have received over five proposals to acquire MAB. This include famed international airline companies such as Japan Airlines, Air France-KLM, Malindo Airways, and AirAsia.

Source: Reuters

So far, AAGB is among the lucky ones to get the exclusive opportunity as the airline label is ready to spend a whopping price of RM1.4 billion yearly to cover MAB’s operating cost. For those who don’t know, the overall cost is RM1 billion a year.

According to AAGB, the partnership between the two giant airlines will be merged under one brand; AirAsia. Both companies will proceed with operation, this time around with the concept and direction set by the company.

Capital A & AirAsia Looking To Expand Routes Into Saudi Arabia

It was further reported that AABG is set to appoint Brahim as the official food provider for MAB. Meanwhile, other airlines like MASwings and Firefly were among those not included in the purchase list.

Are y’all excited for the merge between these 2 big companies?

Source: VOCKET.

AirAsiaMalaysia Airlines
https://lomp.at/6n7bx
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