PETALING JAYA: Kenanga Research is positive over the latest nod for a reduction of fees for the utilisation of Istanbul Sabiha Gökçen International Airport granted to Malaysia Airports Holdings Bhd (MAHB).
In a note today, the research house said assuming a reduction of 5% on the deferred utilisation fees of €229.6 million (RM1.07 billion), this works out to approximately RM53 million in savings or 12% of MAHB’s net profit forecast for financial year 2023.
On Dec 28, MAHB’s wholly-owned Istanbul Sabiha Gökçen International Airport Investment Development and Operation Inc (ISG), which operates the airport in Istanbul, Turkey, executed an amendment to an agreement pertaining to force majeure relief granted by the Presidency of Defence Industries of Türkiye (SSB) for the Covid-19 period in favour of ISG.
The subsidiary had previously secured a deferment from the SSB for the payment of the utilisation fees, amounting to €114.8 million (RM539 million), which was initially scheduled to be paid in January 2021 and January this year.
“As part of the relief, SSB has granted a reduction on the utilisation fees, taking into consideration the Covid-19 impact to be applied to the deferred amount.
“The remaining balance of the deferred amount shall be paid not later than Dec 31, 2025, subject to interest of 6.524% per annum,” Kenanga Research said.
At 11.25am, the counter gained two sen to RM6.57 with 546,400 shares changing hands.