25 February 2021
On 22 February 2021, the English Court sanctioned a scheme of arrangement under Part 26 of the Companies Act proposed by MAB Leasing Limited (MABL). MABL is part of Malaysia Aviation Group Berhad which operates Malaysia's national flag carrier. The scheme will restructure 52 English law governed operating leases, representing over half the airline's fleet. It offers the lessors a menu of options including (i) a revision of rent to reflect market rates and (ii) termination of the lease and repossession of the aircraft.
Clifford Chance acted for all scheme creditors and has prepared a briefing paper discussing the case.