KUALA LUMPUR, April 1 — Tan Sri Tony Fernandes has said he is confident that local carrier Malaysia Airlines Bhd (MAB) can revert to its glory days but he is not the man for it, amid suggestions for him to take over the latter’s management.
In an interview with Hong Kong-based South China Morning Post (SCMP), Fernandes said his AirAsia Group Bhd has no plan reinitiate its 2011 share swap plan with MAB that was rejected by former prime minister Datuk Seri Najib Razak.
“Many people will say that [AirAsia’s] expertise could be used to hurt Malaysia Airlines and benefit AirAsia,” he was quoted as saying.
“There is a genuine interest to help but in this day and age, not everyone will see it that way.
“It’s best that we do our own thing, and we’ve got a lot on our plate,” he added.
Fernandes said he was optimistic with MAB’s prospects after Khazanah Nasional, Malaysia’s sovereign wealth fund, infused RM6 billion in capital into the flag carrier following current prime minister Tun Dr Mahathir Mohamad’s decision to either sell or shut the airlines two weeks ago.
In 2011, AirAsia founders Fernandes and Datuk Kamarudin Meranun had joined the Malaysia Airlines board in a share swap deal.
However, the deal soured due to disagreements over how to run the airline.
Last month, Jelutong MP RSN Rayer had suggested for Fernandes to helm MAB as chief executive to save the airline.
AirAsia was also reported to have said that it was more interested to pursue organic growth, rather than expanding through acquisitions, after its refusal to buy over Hong Kong Express Airways, Hong Kong’s sole low-cost carrier.
Fernandes told the paper that AirAsia had studied the proposal to buy HK Express and Hong Kong Airlines from HNA Group, but finally declined to buy either.
“My philosophy has been organic growth. I generally don’t believe in acquisition because it comes with a lot of inherent issues. When you import through acquisition, it comes at a risk, so it’s not my preference,” Fernandes was quoted as saying.
Fernandes also told SCMP that AirAsia, which is currently functioning with 21,000 employees without any union representation, intends to stay away from importing “inherent issues” and excess baggage from buying more airlines.
SCMP reported that AirAsia had only made one acquisition since it started, which was in 2013, when it bought 49 per cent of Zest Airways for an undisclosed amount in efforts to retain a landing area in the Philippines.
Currently amid intense competition within the region, SCMP also highlighted that AirAsia has declined to buy stakes in Bangkok’s NokAir and Indonesia’s Garuda low-cost brand, Citilink.
“I never say no to any M&A, but it has to be a sexy opportunity to go down that route,” Fernandes reportedly said, referring to mergers and acquisitions.
