Anwar vows Malaysia’s airports operator will remain in Malaysians’ hands

Malaysia’s PM assured parliament that the country will also retain ownership of the operator amid protests against an Israel-linked bid

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Published: 2:50pm, 25 Jun 2024Updated: 3:03pm, 25 Jun 2024

The management and ownership of Malaysia’s airports operator will remain in Malaysian hands following a plan to take it private, Prime Minister Anwar Ibrahim said on Tuesday, amid protests against a bid that includes foreign investors.

A consortium led by Malaysia’s sovereign wealth fund Khazanah Nasional Bhd and state pension fund the Employees Provident Fund announced on May 15 an offer to take Malaysia Airports Holdings private, in a deal that would value the airport operator at US$3.9 billion.

The consortium also includes the Abu Dhabi Investment Authority and Global Infrastructure Partners, which is in the process of being acquired by US fund manager BlackRock.

The BlackRock logo is pictured outside the US fund manager’s headquarters in New York. Photo: Reuters

The privatisation plan has faced criticism and protests from some ruling party and opposition lawmakers in Muslim-majority Malaysia, a staunch supporter of the Palestinian people, over BlackRock’s significant investments in Israel, which is fighting a war against the militant Hamas group in Gaza.

Anwar told parliament on Tuesday that ownership of Malaysia Airports Holdings Berhad will remain in Malaysia’s hands through the 70 per cent stake held by Khazanah and the Employees Provident Fund upon completion of the deal.

“MAHB’s chairman and CEO will be Malaysians,” Anwar said in response to concerns that shares of the airport operator would be sold to foreign investors.

Anwar said the privatisation process will continue, adding Global Infrastructure Partners had already stated that BlackRock will not take part in the privatisation deal.