KUALA LUMPUR – Local company Gateway Development Alliance Sdn Bhd (GDA), along with its shareholders forming a consortium, has unveiled plans for a conditional voluntary takeover of Malaysia Airports Holdings Bhd (MAHB). The consortium is offering RM11 per share, placing the company’s valuation at RM18.4 billion.
According to Bernama, this proposal follows the fulfilment of specific pre-conditions, including obtaining necessary approvals from authorities in Türkiye, Saudi Arabia, Egypt, and Malaysia, as noted in the pre-conditional offer announcement dated May 15, 2024.
In a joint statement, the consortium stated that, together with its parent companies, it holds 41.1% of MAHB’s issued share capital as of November 15, 2024, the date on which the conditional voluntary takeover offer notice was issued.
The consortium is led by two Malaysian entities: UEM Group Bhd (UEM Group), a wholly-owned subsidiary of Khazanah Nasional Bhd, and the Employees Provident Fund Board (EPF).
Other shareholders in the consortium include a wholly-owned subsidiary of the Abu Dhabi Investment Authority (Adia) and funds managed by Global Infrastructure Partners (GIP), a prominent infrastructure investor.
Upon full acceptance of the offer, UEM Group’s stake in MAHB would increase from 32.99% to 40%, while EPF’s would rise from 7.86% to 30%, the consortium said.
“This means that Malaysian investors will collectively own 70% of MAHB. The remaining 30% will be owned by Adia and GIP,” the statement said.
The joint statement also emphasised that the Malaysian government would retain special share rights in MAHB, with the positions of chairman and chief executive officer or managing director reserved for Malaysian citizens.
All 39 Malaysian airports operated by MAHB will remain under the ownership of the Malaysian government as outlined in MAHB’s operating agreements and will continue to be regulated by government agencies, including the Civil Aviation Authority of Malaysia, the Immigration Department, Royal Malaysian Customs, and the Royal Malaysian Police.
The consortium confirmed that there are no plans for layoffs and that existing employment rights will be preserved under the offer.
The offer is conditional upon the consortium securing acceptances that would bring its total holdings to at least 90% of MAHB’s issued share capital by the offer’s closing date.
“The consortium intends to position MAHB for long-term sustainable growth, focusing on maintaining and upgrading airport infrastructure, enhancing passenger service levels, and improving airline connectivity, which will support traffic growth.
“This, in turn, will provide lasting economic benefits for MAHB and its stakeholders, as well as for key economic sectors in Malaysia and Türkiye,” it added. – November 15, 2024