New challenging chapter for MAHB amid privatisation exercise

MAHB must immediately implement service reforms and intensify investments to ensure it remains top-notch.

THE resignation of all the five dissenting independent directors of Malaysia Airports Holdings Bhd (MAHB), marks a new chapter for the airport operator as it gets its privatisation process underway.

The delisting of its shares from Bursa Malaysia is slated for Feb 25.

The directors had recently opposed the takeover of the airport operator by Khazanah Nasional Bhd-led Gateway Development Alliance Sdn Bhd (GDA), describing the offer at RM11 per share as unfair and unreasonable.

While the delisting of MAHB is nearing completion, as a government-linked corporation, it’s still accountable to the public like a listed company.

There should be some form of scrutiny and transparency under GDA since airports are a public interest matter.

Granted that the GDA consortium believes that privatising MAHB is the best step forward for the company as it allows decisions and long-term investments to be made quickly.

GDA has its work cut out as it will not only need to spruce up the ageing Kuala Lumpur International Airport main terminal but address pertinent issues such as resuming the terminal’s aerotrain service.

Once it takes over ownership in March, GDA is to begin optimising operational efficiencies across the 39 airports that MAHB manages, with immediate focus on reducing passenger waiting times.

Additionally, the transformation of MAHB will need to kick up a gear as Visit Malaysia Year will take place next year with an ambitious goal of bringing in 35.6 million tourists and generate RM147.1bil in tourism receipts.

Airports, being the first entry point for passengers, need to be in the best condition to leave a good impression.

MAHB must immediately implement service reforms and intensify investments to ensure it remains top-notch, considering the increasingly fierce regional competition.

Among the key areas to be prioritised by the consortium are completing high priority capital projects, accelerating capital investments and developing ancillary businesses around airports.

Furthermore, if GDA can do what previous management of MAHB can’t in terms of enhancing its operations, then the country will benefit immensely from more airlines and passengers, which will translate into better economic growth.