(Bloomberg) — Malaysian Airline System Bhd. will be delisted after sovereign wealth fund Khazanah Nasional Bhd. offered to buy out minority shareholders in a restructuring plan for the national carrier that suffered two disasters this year.

Khazanah will pay 27 sen a share for a total of 1.38 billion ringgit ($429 million) to buy the remaining 30.6% it doesn't own, it said in a statement today. The airline will need "substantial funding requirements" for the next few years to sustain operations, it said. Prime Minister Najib Razak said the revamp will involve "painful steps and sacrifices."

The carrier is struggling to stem losses and repair its image after the downing of Flight 17 in Ukraine last month compounded woes from the disappearance of a jet in March. Malaysia Airlines has grappled with increased competition and higher costs even before Flight 370 vanished, as low-cost rivals flooded the region with planes and drove down fares.