This article suggests that Malaysia is actually looking for a low-end fighter aircraft and NOT a very sophisticated one...Depends on their timeline.
Mk2 can effectively compete with most others. But Mk1/Mk1A will suffer badly on the range and payload aspects - even if offered at an attractive price point.
If Malaysian air force is anything like IAF then Mk2 stands a chance! Quite unlikely to happen though!
https://asianmilitaryreview.com/2018/05/light-combat-aircraft-in-the-asia-pacific/