Latest news with #AzhanShafriman
Barnama
17 hours ago
- Automotive
- Barnama
Funding, Planning Key To Malaysia's F1 Comeback
A Formula 1 (F1) comeback in Malaysia is not off the table, but it will not happen without serious funding, strategic planning and nationwide commitment, said Sepang International Circuit (SIC) chief executive officer Azhan Shafriman Hanif. 'Even if we plan this, it could be in the next three to five years. (It's) because of the planning, because of the funding, and because of the coordination that we need to do within ministries and also corporate companies. 'But it can happen, I believe it can happen…,' Azhan Shafriman told Bernama in an interview recently. After joining the Formula 1 calendar in 1999, Malaysia last hosted an F1 Grand Prix in 2017. Since then, the sport has undergone a transformation, both in terms of global audience and commercial focus. With the Netflix-fuelled resurgence of F1 fandom and the explosion of Asian sports tourism, Malaysia is suddenly back in the conversation. But the question remains: is Malaysia ready to make the leap? REGIONAL PRESSURE, GLOBAL COMPETITION F1's expansion in Asia is accelerating, with Thailand set to debut on the calendar in 2028 and Singapore continuing its popular night race. 'If that happens, we're going to be stuck between Singapore and Thailand on the calendar,' Azhan Shafriman said, noting the geopolitical and commercial significance of regional positioning. He said SIC stands ready to coordinate a potential comeback, acting as the bridge between government stakeholders and the Formula 1 management. However, two major challenges persist, namely securing a slot in the tightly packed 24-race calendar and obtaining sufficient funding. And that calendar is already full, with more countries waiting in line. 'We are still in discussions with them (F1), building trust. They want to come back here, but the questions are: who's going to fund it and where do we fit in the calendar… there's always that element of luck,' he said. This means Malaysia is not only competing with Thailand and Singapore but with new and emerging bidders from around the globe. Demand for a slot on the calendar is high, and Formula 1 is known to be strategic in choosing venues that maximise global exposure, sponsorship and logistical balance. On the other hand, F1's pivot to city-based street circuits such as those in Baku (Azerbaijan), and Miami and Las Vegas (the United States) presents an additional challenge. 'The direction that I see now, Formula 1 is moving towards street racing as compared to permanent circuits. But then again, for racing, Sepang makes sense because it is built for Formula 1,' said Azhan Shafriman. He also noted that the last time Malaysia organised F1 events, the country paid associated fees – Formula One Management – of between US$50 million and US$55 million back in 2017. 'Now, through (the) Netflix (series) 'Formula 1: Drive to Survive' and the F1 movie, its popularity has increased,' he added. With F1's growing international fan base and commercial profile, Azhan Shafriman raised a critical point about affordability and fan expectations. 'Whether there is a slot which is open for us to come back is one question. But the public also needs to consider that ticket pricing will be expensive if they want Formula 1 to return,' he said, adding that the nature of F1 has always been associated with a premium price tag. 'Now or before, ticket prices have always been high for Formula 1. It has always been more expensive than MotoGP (the world's premier motorcycle racing championship). And we've hosted both, we know the difference. A lot of people want Formula 1 to come back. But the real question is, when we sell the tickets, will there be any take-up?' According to him, the cost difference is unavoidable given the scale of investment required for F1. He also pointed to the changing direction under F1's current owner, Liberty Media, which emphasises a broader event experience. 'With Liberty Media injecting more of a lifestyle and entertainment concept into race weekends, the premium for F1 tickets has to be higher compared to MotoGP,' he added. Nevertheless, SIC intends to cater to wider audience groups. 'There will be instances where we provide special seating for those who want to attend. Just like we do for MotoGP with the K2 Hillstand and Ticket Rahmah, we'll look at similar options for Formula 1,' he said. Despite rising operational costs and competitive pressures, Azhan Shafriman stressed that the Sepang circuit remains a purpose-built, world-class racing venue. 'Sepang was built for Formula 1, with wide lanes, sweeping corners and overtaking zones. It would be a waste to host it somewhere else when we have this beautiful circuit,' he said. VALUE OF F1: BEYOND THE TRACK Azhan Shafriman argued that Formula 1 is one of the few global sports products that transcends the race itself, blending engineering, national pride and elite competition. 'Formula 1 is easy to understand because it's broadcast week in, week out. The amount of engineering, technology… the stamp that comes around with Formula 1, it cannot compare with any other sports in the world,' he said. Beyond the desire to host an F1 race lies another, more emotionally charged goal: putting a Malaysian driver in Formula 1. 'We had Alex Yoong last time. We almost got Jazeman (Jaafar) into the seat,' Azhan Shafriman said. But the pathway to F1 is notoriously brutal. 'There are only like 20 seats. And there are hundreds, if not thousands of young kids who are queuing up for the seat,' he added. Most elite drivers begin karting before they even hit their teenage years. From there, they ascend through national racing series, Formula 3 and Formula 2, with each step more expensive than the last. 'If we have this target to put a Malaysian Formula 1 driver, it needs to start from the grassroots. There needs to be a lot of events being held in Malaysia, go-kart and so on,' he said. Now, a new frontier is emerging: virtual racing, with sim-racing and e-sports becoming legitimate feeder platforms for real-world motorsports. 'There's a step right now that we're looking into that starts from e-sports, then you go on to real racing. If you've seen the movie 'Gran Turismo', it's based on a true story… that guy started from sim-racing and then he went on to do real racing,' he said. ECONOMIC MULTIPLIER EFFECTS Azhan Shafriman, meanwhile, believes Malaysia is underestimating the tourism and economic benefits of international events like F1 and MotoGP. Based on SIC's economic impact study, a single international spectator contributes over RM7,700 during a seven- to 10-day stay in Malaysia, a figure that scales up rapidly with attendance. 'For 2022 and 2023, the return was about 3.5. Last year, it went up by double… about six, almost six,' he said, referring to the return-on-investment multiplier for MotoGP. 'Our neighbours are doing it… Singapore, Thailand, even Indonesia. And if we don't step up, we are going to lose more ground,' he warned. He also said Malaysia needs a strategist to assess all the events that can be brought in. While avoiding direct criticism of policymakers, he urged a more strategic and centralised approach to event acquisition. 'I'm not saying that the government is not doing its job. I'm just saying that it could be more strategic,' he said. Azhan Shafriman called for a bold rethinking of how Malaysia courts global events, particularly in terms of regulations and red tape. 'We need someone like that (strategist) in our country to look at all these events that we can pull in… because if we need to be global, there's some leeway that we need to give away. But not affecting the principle of it. 'I mean, we have to respect that Malaysia is a Muslim country. But then again, there are certain things that we have to be relaxed about in order for these people to come. We can't be so restrictive. If not, people will be running away to the neighbouring country,' he said, adding that if Formula 1 were to return to Malaysia, SIC could take on the role of coordinating it. He also credited the resilience of his team for keeping the Sepang circuit on track throughout the uncertainties of the pandemic, budget constraints and high expectations. 'I've a brilliant team behind me that supported me throughout the years… I owe it to them,' he said. He then added, 'Sepang is more than just a circuit. It is a symbol of what Malaysia could be if it dares to get back on the grid.' -- BERNAMA
The Star
2 days ago
- Automotive
- The Star
CEO: SIC eyes long-term expansion
Italy's Francesco Bagnaia from Ducati Team during free practice session at the Petronas Grand Prix Malaysia 2024 at Sepang International Circuit in Sepang. — FAIHAN GHANI/The Star KUALA LUMPUR: After weathering the financial strain due to the Covid-19 pandemic, the Sepang International Circuit (SIC) is charting a new growth trajectory, anchored by land monetisation, strategic investments and expanded commercial offerings. SIC chief executive officer (CEO) Azhan Shafriman Hanif said the circuit is finalising a 10-year long-term business plan to unlock the commercial potential of its 303-ha landbank. 'We only fully utilise about 50% of the land during international events. The rest sits idle most of the year. We want to change that by bringing in investors to develop hotels, motorsport facilities, vehicle storage, attractions and food and beverage outlets,' he told Bernama in an interview recently. Azhan Shafriman, who took the helm in April 2020, said the early years of his leadership were marked by crisis management, as Covid-19 halted all large-scale events, which were the circuit's core revenue driver. In 2023, SIC turned profitable for the first time since the pandemic, with the return of international events like MotoGP. 'That year marked our turning point. In 2022, we had just six months to prepare for MotoGP after the borders reopened in April. But we pulled it off,' said Azhan Shafriman, noting that 2022 was his first MotoGP season since taking on his role as SIC's CEO Beyond motorsports, he envisions transforming Sepang into a lifestyle hub with improved amenities for both visitors and staff.
New Straits Times
3 days ago
- Business
- New Straits Times
Sepang Circuit charts new growth path, sets 10-year plan for expansion
KUALA LUMPUR: After weathering the financial strain due to the Covid-19 pandemic, the Sepang International Circuit (SIC) is charting a new growth trajectory, anchored by land monetisation, strategic investments and expanded commercial offerings. SIC chief executive officer (CEO) Azhan Shafriman Hanif said the circuit is finalising a 10-year long-term business plan to unlock the commercial potential of its 303-hectare landbank. "We only fully utilise about 50 per cent of the land during international events. The rest sits idle most of the year. We want to change that by bringing in investors to develop hotels, motorsport facilities, vehicle storage, attractions and food and beverage (F&B) outlets," he told Bernama in an interview recently. A key obstacle was the unresolved land tenure, which is now close to being ironed out, said Azhan Shafriman He noted that although the Finance Ministry (MOF) took over SIC's facilities from Malaysia Airports Holdings Bhd (MAHB) in 2009, the land remained under MAHB's ownership. "Any investor would ask, who do I sign the lease with? And we couldn't answer that directly. With the sub-lease agreement now progressing, we can finally negotiate long-term leases and unlock investment opportunities," he added. Azhan Shafriman, who took the helm in April 2020, said the early years of his leadership were marked by crisis management, as COVID-19 halted all large-scale events, which were the circuit's core revenue driver. "It was tough. We couldn't lay off staff or cut salaries, being under the MOF and the Youth and Sports Ministry (KBS). But we had to tighten allowances and pause overtime," he recalled. Despite the challenges, the downtime became an opportunity to "tidy up" long-standing legacy issues, including resolving tax matters and upgrading a non-functional sewerage treatment plant that had been neglected since 2015. "We managed to secure funding through MOF and KBS to fix the sewage infrastructure and upgrade piping systems that hadn't been looked at in years," he said. In 2023, SIC turned profitable for the first time since the pandemic, with the return of international events like MotoGP. "That year marked our turning point. In 2022, we had just six months to prepare for MotoGP after the borders reopened in April. But we pulled it off," said Azhan Shafriman, noting that 2022 was his first MotoGP season since taking on his role as SIC's CEO. Beyond motorsports, he envisions transforming Sepang into a lifestyle hub with improved amenities for both visitors and staff. A small but symbolic first step was the opening of a lakeside café that is currently the only F&B outlet within the circuit compound. "It sounds simple, but before this, you had to drive out just to get lunch. We need more eateries, convenience stores, and family-friendly spaces. We want people to come here, hang out, and enjoy more than just the races," he added. Azhan Shafriman said discussions were ongoing to develop commercial plots for local F&B brands and everyday conveniences to serve event-goers, staff, and nearby communities. He added that SIC's presence brings a tangible spillover effect to small traders and communities around Sepang. "It serves the community. Sepang is already built on two prongs, namely sports and tourism, and what we are doing supports both," he said. Although the circuit no longer hosts the Formula 1, SIC has grown into a buzzing motorsports and entertainment hub, with a calendar packed to the brim and fully booked well into next year. The crowds have also returned, and the recent Super GT saw over 78,000 spectators, boosted by a collaboration with the Nihon Matsuri festival, said Azhan Shafriman. He highlighted that last year, SIC welcomed around 200,000 to 300,000 spectators across all events. "We have been doing more than just motorsports. You need music, food, lifestyle – that's how we build a crowd," he added. Azhan believes that SIC's strategic location, being near Port Klang and the Kuala Lumpur International Airport, gives it a unique edge to be a regional hub for motorsports, lifestyle and automotive showcases. "Let's say you hold an auto show here. Not only do you see the cars, but you can actually test them on the track. You can't do that on a normal road," he said. SIC has already lined up concerts, exhibitions and conventions throughout the year, while also courting organisers for new events in 2026. Upcoming highlights include the Malaysian Festival of Speed (MFOS), featuring drift events and karting slalom to be held in September. With MotoGP remaining its flagship event, Azhan Shafriman said SIC's strategy is to anchor international races while drawing in local fans through creative, diversified offerings.
The Sun
3 days ago
- Business
- The Sun
Sepang Circuit plans expansion after post-pandemic profit return
KUALA LUMPUR: The Sepang International Circuit (SIC) is mapping out long-term expansion plans after bouncing back into profitability following the financial strain of the pandemic. SIC chief executive officer Azhan Shafriman Hanif (pic) said the circuit is finalising a 10-year business strategy to maximise its 303-hectare landbank. 'We only fully utilise about 50 per cent of the land during international events. The rest sits idle most of the year,' he told Bernama. He explained that unresolved land tenure issues had previously hindered investment opportunities. 'Any investor would ask, who do I sign the lease with? And we couldn't answer that directly,' he said. With a sub-lease agreement now progressing, SIC can negotiate long-term leases for hotels, motorsport facilities, and F&B outlets. Azhan Shafriman took over as CEO in April 2020, just as COVID-19 forced the cancellation of large-scale events. 'It was tough. We couldn't lay off staff or cut salaries, being under the MOF and the Youth and Sports Ministry,' he recalled. The downtime allowed SIC to resolve legacy issues, including upgrading a neglected sewerage treatment plant. 'We managed to secure funding through MOF and KBS to fix the sewage infrastructure,' he said. In 2023, SIC returned to profitability with the revival of international events like MotoGP. 'That year marked our turning point,' said Azhan Shafriman. Beyond motorsports, he aims to transform Sepang into a lifestyle hub. A lakeside café, the circuit's first F&B outlet, is a small but symbolic step. 'Before this, you had to drive out just to get lunch,' he said. Discussions are ongoing to bring in more eateries, convenience stores, and family-friendly spaces. SIC's presence benefits local traders and communities, supporting Sepang's sports and tourism economy. Though no longer hosting Formula 1, the circuit remains a buzzing motorsports and entertainment hub. The recent Super GT event drew over 78,000 spectators, boosted by a collaboration with the Nihon Matsuri festival. Last year, SIC welcomed 200,000 to 300,000 spectators across all events. 'You need music, food, lifestyle – that's how we build a crowd,' Azhan Shafriman added. SIC's proximity to Port Klang and KLIA gives it an edge as a regional hub for motorsports and automotive showcases. 'Let's say you hold an auto show here. You can actually test cars on the track,' he said. Upcoming events include the Malaysian Festival of Speed in September, featuring drift events and karting slalom. With MotoGP as its flagship event, SIC aims to diversify its offerings to attract both international and local fans. 'F1 or not, we have built a model that's thriving,' Azhan Shafriman said. - Bernama
Barnama
3 days ago
- Business
- Barnama
SIC Eyes Long-Term Expansion After Return To Profitability
BUSINESS By Siti Radziah Hamzah KUALA LUMPUR, Aug 17 (Bernama) – After weathering the financial strain due to the COVID-19 pandemic, the Sepang International Circuit (SIC) is charting a new growth trajectory, anchored by land monetisation, strategic investments and expanded commercial offerings. SIC chief executive officer (CEO) Azhan Shafriman Hanif said the circuit is finalising a 10-year long-term business plan to unlock the commercial potential of its 303-hectare landbank. 'We only fully utilise about 50 per cent of the land during international events. The rest sits idle most of the year. We want to change that by bringing in investors to develop hotels, motorsport facilities, vehicle storage, attractions and food and beverage (F&B) outlets,' he told Bernama in an interview recently. A key obstacle was the unresolved land tenure, which is now close to being ironed out, said Azhan Shafriman He noted that although the Ministry of Finance (MOF) took over SIC's facilities from Malaysia Airports Holdings Bhd (MAHB) in 2009, the land remained under MAHB's ownership. 'Any investor would ask, who do I sign the lease with? And we couldn't answer that directly. With the sub-lease agreement now progressing, we can finally negotiate long-term leases and unlock investment opportunities,' he added. Azhan Shafriman, who took the helm in April 2020, said the early years of his leadership were marked by crisis management, as COVID-19 halted all large-scale events, which were the circuit's core revenue driver. 'It was tough. We couldn't lay off staff or cut salaries, being under the MOF and the Youth and Sports Ministry (KBS). But we had to tighten allowances and pause overtime,' he recalled.
