KUALA LUMPUR (Sept 26): Malaysia Airports Holdings Bhd (MAHB) has lost an arbitration to Kuala Lumpur Aviation Fueling System Sdn Bhd (KAFS), which had sought a RM28.28 million claim for alleged losses and damages pertaining to design changes under an airport facilities agreement (AFA) entered into on Sept 26, 2007.

In a filing with Bursa Malaysia today, MAHB said its wholly-owned subsidiary Malaysia Airports (Properties) Sdn Bhd (MA Properties) has received the award from the Arbitral Tribunal in favour of KAFS in relation to the dispute.

"The award is only in respect of liability and the quantum will be decided by the Arbitral Tribunal in a separate proceeding at a later stage," it added.

MAHB said KAFS’ claims, however, are not expected to have a material effect on the group's earnings and net assets for the financial year ending Dec 31, 2018.

"MAHB will make further announcements on any material development on this matter from time to time," it added.

MA Properties had on Aug 20, 2015 received the notice of arbitration from KAFS.

MAHB shares closed unchanged at RM8.92 today, giving it a market capitalisation of RM14.8 billion.