Cabinet To Decide On Subang Airport S Proposed Takeover


 



The cabinet will have the final say over the fate of the Sultan Abdul Aziz Shah Airport (Subang airport) amidst a takeover bid by a private company.
In a statement today, the Transport Ministry said any proposal to redevelop the Subang airport was still preliminary.
“It is a common practice for the market to submit proposals to the government via an operating ministry to develop new or existing assets.
“In the case of the Subang airport, being a significant facility and major urban hub for Klang Valley residents, great care and deliberation is needed for the airport’s long-term future in the broader Malaysian aviation landscape,” said the ministry.
Yesterday, a report by The Vibes said that Malaysia Airport Holdings Bhd (MAHB) and Malaysia Airlines Group (MAG) are staunchly opposed to a proposal by Subang Skypark Sdn Bhd to take over the entire airport.
Subang Skypark is a wholly owned subsidiary of construction firm WCT Holdings Bhd, which is led by Desmond Lim.
According to the report, Subang Skypark plans to shift Subang airport’s focus to “premium business travellers, capturing a different market from KLIA passengers”.
The report said the company also wants to add new facilities - convention hall, pet hotel, hospital, hanger and maintenance, among others - to Subang airport.
MAHB and MAG are reported to have objected on grounds that the former had already embarked on a “regeneration” plan for the airport, slated to be completed at end-2025.
The Transport Ministry was also reportedly warned by the two companies that the government will suffer losses if the deal was to proceed.
Government-controlled funds Khazanah Nasional Bhd, Employees Provident Fund and Retirement Fund Inc (Kwap) collectively own 53 percent of MAHB as of end-2020. - Mkini


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