Malaysian MYAirline Suspends Operations for Financial Restructuring

MYAirline, a Malaysian carrier that launched flights less than a year ago, has suspended its operations as it seeks financial restructuring. The airline announced on October 12 that all its flights are canceled until further notice due to “significant financial pressure.” It will remain grounded during the shareholder restructuring and recapitalization process.

MYAirline’s board stated that they had been exploring various partnership and capital raising options to avoid this suspension but ran out of time. The carrier is committed to resuming operations as soon as possible but cannot provide a specific timeline.

The Malaysian Aviation Commission (MAVCOM) has instructed MYAirline to cease all bookings and reminded the airline that it remains liable for refunds to affected travelers. MAVCOM is also investigating complaints related to unpaid employee wages and other issues.

MYAirline, which launched in December 2022, operates a fleet of nine Airbus A320 aircraft. The suspension comes shortly after the airline’s CEO, Rayner Teo, stepped down due to health reasons, with COO Stuart Cross taking over as interim CEO. MYAirline had previously mentioned plans for strategic partnerships to support future growth and had its air operator certificate extended for another two years by the Civil Aviation Authority of Malaysia.

Sources: AirGuide Business airguide.info, msn.com, aviationweek.com