State fund to pay 1.4 billion ringgit take Malaysia Airlines private
KUALA LUMPUR Aug 8 (Reuters) - Malaysian Airline System Bhd (MAS) said on Friday that state investor Khazanah Nasional will offer 27 sen for each share in the company it does not own, amounting to nearly 1.4 billion ringgit ($435 million) to take the troubled airline private.
Khazanah, which owns 69.37 percent of MAS, will undertake a comprehensive review and restructuring of the airline, which has suffered two jetliner disasters this year, MAS said in a statement after announcing the suspension of its shares.
The move to de-list MAS from the Malaysian stock exchange is due to the airline's unfavourable financial performance, having recorded a net loss for the past three years, it said.
Private ownership will allow room for Khazanah to introduce an appropriate capital structure for MAS to meet its "substantial funding requirements" in the next few years, and to sustain operations amid a high level of debt, the statement said. (Reporting by Yantoultra Ngui and Al-Zaquan Amer Hamzah; Editing by Stuart Grudgings)