Malaysian firm GSV makes US$2.5 billion bid for ailing state carrier Malaysia Airlines

Golden Skies Ventures has financing from a European bank to take over the holding company of the airline

It plans to reinstate Malaysia Airlines as a premium long-haul airline, and is banking on pent-up travel demand when the coronavirus is contained

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Malaysia Airlines aircraft are seen from the viewing gallery at the Kuala Lumpur International Airport. Photo: EPA-EFE

Published: 12:01am, 7 Apr 2020Updated: 6:02am, 7 Apr 2020

Privately held Golden Skies Ventures (GSV) has made a US$2.5 billion offer to fully take over the holding company of ailing state carrier Malaysia Airlines, with financing from a European bank, its executives confirmed on Monday.

Malaysian firm GSV made the proposal a month ago, as airlines around the world were hammered by travel restrictions following the coronavirus pandemic.

“[We have secured] in excess of US$2.5 billion from the bank. We will take about three to four months to get the long-term financing,” chief executive Shahril Lamin told Reuters in a phone interview.

A Boeing Co. 737 aircraft, operated by Malaysian Airlines, at Kuala Lumpur International Airport. Photo: Bloomberg

GSV also has a commitment from a Japanese private equity firm to inject immediate funds into the aviation group through an equity deal.

The Edge weekly had first reported GSV’s proposal over the weekend.