Khazanah, KWSP Urge Expedited Privatization of MAHB

Malaysia's national investment fund, Khazanah Nasional Berhad, and the Employees Provident Fund (KWSP) are pressing for the swift privatization of Malaysia Airports Holdings Bhd (MAHB). They advocate for the process, which involves technical partner Global Infrastructure Partners (GIP), to be accelerated to expedite the company's transformation and enhance the operational efficiency and competitiveness of the nation's airports.

Datuk Mas Ermieyati Samsudin, Chairman of the Public Accounts Committee (PAC), stated that the committee's proceedings revealed the privatization aims to speed up decision-making by removing the pressure of public market dividends. It also seeks to break down existing bureaucratic inertia within MAHB.

Airline companies, according to Samsudin, are more focused on the effectiveness of MAHB's transformation plans rather than the specifics of ownership or the selection of its strategic partner. They emphasize the need for adequate capital investment in public airports and for airport operations to reach optimal levels to improve customer experience. Local airlines have expressed a desire for more proactive involvement in MAHB's transformation and operational improvement plans.

Both the Securities Commission (SC) and Bursa Malaysia have confirmed that the takeover and privatization processes, including the extension of the offer period and the reduction of the acceptance condition threshold from 90 percent to 85 percent, comply with legal requirements and the Takeover Code. Despite privatization, the government will retain strategic control through Khazanah and KWSP's combined 70 percent shareholding and a "golden share" power. The government will appoint the Chairman, Managing Director, and four board members, with permanent representatives from Khazanah and KWSP.