Kuala Lumpur-based MY Airline today suspended all flights until further notice.

The airline says it has come to “this extremely painful decision” because of “significant financial pressures”.

MY Airline adds that it is working on a shareholder restructuring and recapitalisation of the airline.

The start-up carrier launched in late 2022 only and had thus far built a fleet of eight in-service Airbus A320 aircraft which it was operating on domestic and international routes from the Malaysian capital, including to Bangkok.

It had about 10 per cent domestic market share in August.

MY Airline was planning to grow to more than 50 aircraft in the coming years and was actively recruiting for new stations in Thailand, Vietnam and Indonesia.

The carrier was competing against Malaysia Airlines, AirAsia carriers, and the Lion Group stable of airlines including Batik Air. All three airline groups later today said they would offer special relief fares to passengers stranded by MY Airline.

“We deeply regret and apologize for having to make this decision as we understand the impact it will have on our loyal passengers, dedicated employees and partners. We have worked tirelessly to explore various partnership and capital raising options to prevent this suspension. Unfortunately, the constraints of time have left us with no alternative but to take this decision,” MY Airline said on 12 October.

The carrier adds that it is working to resume operations as quickly as possible but at this stage is unable to commit to any timeline.