Air France-KLM offers to buy 49% stake of Malaysian Airlines;Japan Airlines seeks 25%


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Air France-KLM offers to buy 49% stake of Malaysian Airlines;Japan Airlines seeks 25%

Air France-KLM, the Paris-based Franco-Dutch airline holding company incorporated under French legislations, had been in an advanced stage talk with Malaysian Airline to purchase as much as 49 per cent of its stake, while Japan Airlines had proposed a buyout bid for 25 per cent, at least five people familiar with the subject-matter had unveiled on Tuesday, the 21st of January 2020.

On top of that, one of the five sources close to Malaysian Airlines had also added that the Malaysian wing of Indonesia’s Lion Air alongside domestic carrier Malindo Air and AirAsia Group Bhd had submitted proposals.

Nonetheless, following reveal of the media report, a spokesman for the Air France-KLM was quoted saying on Tuesday (January 21st) that the airliner had been in talks with the owners of Malaysian Airlines, but had sidestepped from the bidding process, while another sources directly briefed over the subject matter said that despite more lucrative offers from foreign airlines, the Malaysian Government of Mahathir Mohammed appeared to be more interested to sign off a deal with AirAsia.

Meanwhile, referring to Malaysia’s strategic location that made the bidding process for its national airliner more competitive than thought initially, a source said, “The bids from the foreign carriers are more comprehensive and strategic as both plans to capitalize on the strategic location of Malaysia for their operations. ”