PETALING JAYA: AirAsia Bhd may see a new country head soon, while Tan Sri Tony Fernandes will remain as the budget carrier’s regional chief, sources said.
It is worth noting that AirAsia already has CEOs for its respective operations in Thailand and Indonesia. It also has plans to list these entities, which have just started making profits.
The appointment of a new CEO here can be seen as an integral part of Fernandes’ aspirations to make AirAsia a truly Asean airline.
“Fernandes will stay regional, (there will be) just a new CEO in Malaysia,” said the source.
This development came amid AirAsia’s fast expansion in the Asian region as well as the changing landscape of the local aviation industry. Its latest regional move was the setting up of AirAsia Japan. Fernandes also hopes to triple AirAsia’s fleet from 100 to 300.
Named Forbes’ Asia businessman last year, Fernandes played a big role in enabling major changes in the country’s aviation industry this year. The AirAsia CEO was instrumental in forging closer ties between AirAsia and Malaysian Airline System Bhd (MAS) in a collaboration estimated to save both airlines some RM1 billion per annum as both focus on core competencies.
Under the deal, Fernandes and his deputy Datuk Kamarudin Meranun took up some 20% in MAS via a share swap deal with Khazanah Nasional Bhd in August. Khazanah in turn subscribed to some 10% in AirAsia. There is a two-year moratorium attached to these shareholdings.
sell substantially to non-Singaporean customers,” said a local property analyst.
Singapore has had one of the most exciting real estate markets in the region as investors from China, Indonesia and Malaysia snapped up private residential properties in the island state.
According to Singapore government data, foreign buyers accounted for 19% of all private residential property purchases in 2HFY11, a substantial increase from 7% in 1HFY09.
However, S P Setia president and CEO Tan Sri Liew Kee Sin seemed unfazed by the new measures to curb real estate speculation in Singapore.
Liew said S P Setia’s Singapore projects are mainly targeted at Singaporeans wanting to upgrade their dwellings. He expects to sell about 70% of the group’s real estate units there to Singaporeans.
Additionally, Liew does not expect its non-Singaporean customers to be frightened off by the additional stamp duty charges. “The remaining 30% would be foreigners who want to buy anyway, regardless of the stamp duty and additional 10% charge,” a confident Liew said after announcing the group’s latest financial results.
Liew also pointed out that S P Setia’s maiden project in Melbourne had seen fast take up from Malaysians despite the strong Australian dollar against the ringgit.
S P Setia made its maiden foray to Singapore in April after acquiring a freehold development along Woodsville Close for redevelopment. It plans to redevelop the 0.68-acre land into a multi-storey residential apartment building with an estimated gross development value (GDV) of S$130 million (RM316.3 million). The project is expected to be launched in the coming months.
Just last week, S P Setia announced that its subsidiary had won a tender for a 4.62-acre parcel at Singapore’s Chestnut Avenue for S$180 million. The eco-themed development comprises residential apartments with an estimated GDV of S$465 million. The project is scheduled for launched in 4Q12.
Selangor Dredging Bhd (SDB), another Malaysian property developer with ongoing projects in the island republic, believes that Singapore remains a viable investment destination despite the new measures.
SDB communications and corporate affairs manager Yeoh Guan Jin said although the impact of the new measures will likely be felt quickly, the market will adapt to the new regime.
“Speculation will likely be curbed for now. But in the longer term, demand for property will return to normal. We are confident that the market will ride this out. A more stable and less speculative property sector would be a positive development,” Yeoh told The Edge Financial Daily in an email response.
Yeoh added that SDB has no plans of delaying the launch of its fifth Singapore project in Pasir Panjang, which is currently scheduled for 2H12. In Singapore, SDB has completed and sold out its low-density apartment called Jia on Wilkie Road.
The other three projects that are close to selling out are its mixed development Okio Residences, Gilstead Two apartments and 41-units of luxury apartments called Hijauan on Cavenagh.
Among the Malaysian players, IOI Corp and Khazanah (via listed property arm UEM Land) may be more affected as they have a large landbank there with yet-to-be launched projects. The latter recently gained control of two plots of land in the Marina area in exchange for the surrender of the KTM railway land.
Analysts say that a positive spin-off effect of Singapore’s move could be a diversion of property investors to Malaysia, particularly Iskandar Malaysia in Johor and even Penang.
“The changes in Singapore may affect its attractiveness. It was previously seen as having quite a liberal environment for real estate ownership by foreigners. Foreigners do not like changes that affect their investments. The Malaysian government has been relatively liberal when it comes to property ownership by non-citizens,” said one property analyst.
Foreigners in Malaysia are allowed to buy properties priced at above RM500,000 and own landed homes, the analyst pointed out. He also claimed that the Malaysia My Second Home programme was “the cheapest long-term residency programme” in the world.
This article appeared in The Edge Financial Daily, December 9, 2011.
It is worth noting that AirAsia already has CEOs for its respective operations in Thailand and Indonesia. It also has plans to list these entities, which have just started making profits.
The appointment of a new CEO here can be seen as an integral part of Fernandes’ aspirations to make AirAsia a truly Asean airline.
“Fernandes will stay regional, (there will be) just a new CEO in Malaysia,” said the source.
This development came amid AirAsia’s fast expansion in the Asian region as well as the changing landscape of the local aviation industry. Its latest regional move was the setting up of AirAsia Japan. Fernandes also hopes to triple AirAsia’s fleet from 100 to 300.
Named Forbes’ Asia businessman last year, Fernandes played a big role in enabling major changes in the country’s aviation industry this year. The AirAsia CEO was instrumental in forging closer ties between AirAsia and Malaysian Airline System Bhd (MAS) in a collaboration estimated to save both airlines some RM1 billion per annum as both focus on core competencies.
Under the deal, Fernandes and his deputy Datuk Kamarudin Meranun took up some 20% in MAS via a share swap deal with Khazanah Nasional Bhd in August. Khazanah in turn subscribed to some 10% in AirAsia. There is a two-year moratorium attached to these shareholdings.
sell substantially to non-Singaporean customers,” said a local property analyst.
Singapore has had one of the most exciting real estate markets in the region as investors from China, Indonesia and Malaysia snapped up private residential properties in the island state.
According to Singapore government data, foreign buyers accounted for 19% of all private residential property purchases in 2HFY11, a substantial increase from 7% in 1HFY09.
However, S P Setia president and CEO Tan Sri Liew Kee Sin seemed unfazed by the new measures to curb real estate speculation in Singapore.
Liew said S P Setia’s Singapore projects are mainly targeted at Singaporeans wanting to upgrade their dwellings. He expects to sell about 70% of the group’s real estate units there to Singaporeans.
Additionally, Liew does not expect its non-Singaporean customers to be frightened off by the additional stamp duty charges. “The remaining 30% would be foreigners who want to buy anyway, regardless of the stamp duty and additional 10% charge,” a confident Liew said after announcing the group’s latest financial results.
Liew also pointed out that S P Setia’s maiden project in Melbourne had seen fast take up from Malaysians despite the strong Australian dollar against the ringgit.
S P Setia made its maiden foray to Singapore in April after acquiring a freehold development along Woodsville Close for redevelopment. It plans to redevelop the 0.68-acre land into a multi-storey residential apartment building with an estimated gross development value (GDV) of S$130 million (RM316.3 million). The project is expected to be launched in the coming months.
Just last week, S P Setia announced that its subsidiary had won a tender for a 4.62-acre parcel at Singapore’s Chestnut Avenue for S$180 million. The eco-themed development comprises residential apartments with an estimated GDV of S$465 million. The project is scheduled for launched in 4Q12.
Selangor Dredging Bhd (SDB), another Malaysian property developer with ongoing projects in the island republic, believes that Singapore remains a viable investment destination despite the new measures.
SDB communications and corporate affairs manager Yeoh Guan Jin said although the impact of the new measures will likely be felt quickly, the market will adapt to the new regime.
“Speculation will likely be curbed for now. But in the longer term, demand for property will return to normal. We are confident that the market will ride this out. A more stable and less speculative property sector would be a positive development,” Yeoh told The Edge Financial Daily in an email response.
Yeoh added that SDB has no plans of delaying the launch of its fifth Singapore project in Pasir Panjang, which is currently scheduled for 2H12. In Singapore, SDB has completed and sold out its low-density apartment called Jia on Wilkie Road.
The other three projects that are close to selling out are its mixed development Okio Residences, Gilstead Two apartments and 41-units of luxury apartments called Hijauan on Cavenagh.
Among the Malaysian players, IOI Corp and Khazanah (via listed property arm UEM Land) may be more affected as they have a large landbank there with yet-to-be launched projects. The latter recently gained control of two plots of land in the Marina area in exchange for the surrender of the KTM railway land.
Analysts say that a positive spin-off effect of Singapore’s move could be a diversion of property investors to Malaysia, particularly Iskandar Malaysia in Johor and even Penang.
“The changes in Singapore may affect its attractiveness. It was previously seen as having quite a liberal environment for real estate ownership by foreigners. Foreigners do not like changes that affect their investments. The Malaysian government has been relatively liberal when it comes to property ownership by non-citizens,” said one property analyst.
Foreigners in Malaysia are allowed to buy properties priced at above RM500,000 and own landed homes, the analyst pointed out. He also claimed that the Malaysia My Second Home programme was “the cheapest long-term residency programme” in the world.
This article appeared in The Edge Financial Daily, December 9, 2011.
