Look at ways to reduce Sapura's losses, no need to bail out, says Dr M

LANGKAWI - Former prime minister Tun Dr Mahathir Mohamad says he disagrees with measures to bail out ailing Sapura Energy Bhd, and instead suggested trimming losses of the oil and gas company.

He said Sapura has received investments from various institutions with the aim of profiteering from Sapura.

"Sapura had grown fast but we do not know how it could be in such a big debt. A lot of investors will lose money," he said at a Hari Raya Open House event in Langkawi.

He said bailing out failed businesses was not business.

Sinar Harian further quoted him as saying: "in business, there are times when we make a profit and there are times we incur losses.

He said this when asked to comment on a proposal by former prime minister Datuk Seri Najib Razak who had proposed a bailout or Rick having the government-linked company declared bankrupt.

Sapura's total debt is said to be RM10.3 billion, the company is currently undergoing a debt restructuring plan involving banks, contractors and vendors.