Issue 149: page 8 - MIA Conference 2016

08
FocusM | Oct 10-16, 2015
WHEATORCHAFF
There is much talk and buzz in corporate Malaysia. You decide.
MAB phases out
Boeing 777-200ER
MALAYSIA Airlines Bhd (MAB) is believed to
be phasing out its Boeing 777-200ER as part of
its restructuring.
As a result, pilots and crew members will
probably be seconded to other airlines, sources
say.
MAB is reportedly selling over a dozen
planes including all six Airbus A380 superjumbos, two Boeing 747-400F, four Airbus
A330-200F and four Boeing 777-200ER.
The airline has a fleet of 128, including 57
B737-800, 13 B777-200ER, six A380-800 and two
B747-400.
CEO Christoph Mueller has reportedly said
the company is evaluating its 777 fleet, which
has an average age of 15.6 years, and may
consider selling the 747-400 freighters.
The selling of the 747 cargo-type aircraft
signals the end of MASkargo, MAB’s freight unit.
MAB reportedly plans to move fleet makeup
from large aircraft to smaller planes in its plan
to reinvent itself following two crashes last year.
Shareholder Khazanah Nasional Bhd has
said MAB will reduce capacity and expand its
more profitable domestic and regional routes
in the Asia-Pacific.
CTOS on expansion drive
CREDIT-reporting agency CTOS Data Systems
Sdn Bhd, on an expansion drive, will move
corporate headquarters to Bangsar from current premises at Megan Avenue 1 in Jalan Tun
Razak, Kuala Lumpur.
Sources say the move is part of a strategy
to expand the business after its acquisition by
private-equity firm Creador and the announcement of CTOS’ possibe listing on Bursa
Malaysia.
Creador acquired a 70% stake in CTOS,
Malaysia’s leading credit-reporting agency, for
RM125 mil in September last year.
CTOS, which stands for Credit Tip-Off
System, provides individuals with personal
credit reports and businesses with a comprehensive online system that allows them
to manage their business credit risk via credit
checks, customer monitoring and trade references, according to its website.
Its growth strategies include expanding its
small- and medium-scale enterprise (SME)
penetration, increasing its range of products
and services as well as entering areas of related
businesses.
CTOS plans to expand its SME customer
base from 3,100 to 15,000 by 2020, says a source.
It manages about 10 million individual
records and about two million company credit
records.
The merger will result in the country’s largest standalone Islamic bank
Go-ahead for
Muamalat-MBSB
merger
THE proposed merger between
Bank Muamalat Malaysia Bhd
and Malaysia Building Society
Bhd (MBSB) is on. Both banks
have been given the green light by
authorities, says a source.
“Staff were informed of the
decision earlier this week but no
date has been announced,” says the
source. He adds MBSB has taken
the lead in talks and it is likely
Bank Muamalat will see changes in
senior executive positions as both
sides consolidate resources.
Negotiations for the merger
were between DRB-Hicom
Bhd, which holds a 70% stake in
Bank Muamalat, and MBSB. The
Employees Provident Fund is
the major shareholder of MBSB.
Khazanah Nasional Bhd holds
the remaining 30% stake in Bank
Muamalat.
It is estimated the combined
asset size of the two lenders on
completion of the merger will
be RM60 bil; this will result in
the country’s largest standalone
Islamic bank.
MBSB previously considered
a three-way merger with RHB
Capital Bhd and CIMB Group
Holdings Bhd. The deal fell through
in January.