Malaysia Airports open to debt-funded purchase

KUALA LUMPUR: CIMB Equities Research believes Malaysia Airports Holdings Bhd (MAHB) it is possibly open to a wholly/majority debt-funded acquisition of another 40% of Istanbul Sabiha Gokcen (ISG).

“This is positive because it means that there will be less dilution from the issue of new ordinary shares, and the overall WACC can be lower. We maintain Hold rating and our DCF-based target price of RM7.20,” it said.