Kuala Lumpur: The Abu Dhabi Investment Authority (ADIA) is set to play a pivotal role in the transformation and privatization process of Malaysia Airports Holdings Bhd (MAHB), as announced by Malaysia’s Investment, Trade and Industry Minister, Tengku Datuk Seri Zafrul Abdul Aziz.
According to BERNAMA News Agency, ADIA, recognized as one of the largest sovereign wealth funds globally with assets estimated to exceed US$1 trillion, has been instrumental in MAHB’s privatization efforts. This includes a collaboration with Global Infrastructure Partners (GIP), alongside investments that bolster Malaysia’s infrastructure sector, aligning with the country’s sustainable growth objectives.
In a recent Instagram post, Tengku Zafrul underscored ADIA’s steadfast commitment to investing in Malaysia, emphasizing its focus on creating significant value across various sectors. ADIA’s intentions to further invest in Malaysia were echoed by its managing director Sheikh Hamed Zayed Al Nahyan and other executives, including Khalil Foulathi and Mohamed Al Ameri, during a meeting with Malaysian Prime Minister Datuk Seri Anwar Ibrahim in Abu Dhabi. This meeting was part of the prime minister’s three-day working visit to the United Arab Emirates (UAE).
Globally, ADIA has established itself as a major player across various sectors such as infrastructure, health, and energy, with notable international investments including airports in the United Kingdom and France, Khalifa Port in the UAE, logistics infrastructure in India, and energy projects in the United States.
Regarding the MAHB privatization deal, the Gateway Development Alliance Sdn Bhd (GDA) and its shareholders have secured valid offer acceptances for 1.40 billion shares, which constitute 84.1 percent of the total issued shares in MAHB as of January 8, 2025. The conditional voluntary takeover offer was executed through GDA, with joint offerors including Gateway Development Alliance Sdn Bhd, Pantai Panorama Sdn Bhd, Kwasa Aktif Sdn Bhd, and GIP Aurea Pte Ltd.
GDA, the consortium proposing the privatization, comprises the Employees Provident Fund (EPF), Khazanah Nasional Bhd-backed UEM Group Bhd, ADIA, and BlackRock-owned GIP. The consortium aims to modernize and upgrade MAHB’s operations, enhance passenger services, improve airline connectivity, and stimulate traffic growth.