Capital A completes sale of aviation business to AirAsia X
The move will consolidate the group’s aviation businesses under a single entity
Add BT as a preferred source
DeeperDive is a beta AI feature. Refer to full articles for the facts.
[KUALA LUMPUR] Malaysia’s Capital A Bhd said it completed the sale of its short-haul aviation business to AirAsia X Bhd, as part of the restructuring of the business empire controlled by Tony Fernandes.
The move will consolidate the group’s aviation businesses under a single entity. With the sale, Capital A will focus on non-aviation business, and aims to shed the financially distressed classification it received from Malaysia’s stock exchange in 2022 in the wake of the pandemic.
As part of the transaction, AirAsia X issued 2.3 billion shares to Capital A and its entitled shareholders, Capital A it said in a stock exchange filing late on Friday (Jan 16). AirAsia X also assumed RM3.8 billion (S$1.2 billion) of debt owed by Capital A to AirAsia Bhd.
AirAsia X also sold 606.06 million shares in a private placement on Friday, to raise gross proceeds of RM1 billion, according to the filing. BLOOMBERG
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Share with us your feedback on BT's products and services
TRENDING NOW
‘Boring’ is the new black: The stars are aligning for a Singapore stock market revival
Near sell-out launches in March boost developer sales to 1,300 units after four slow months
China pips the US if Asean is forced to choose, but analysts warn against reading it like a sports result
Genting Singapore’s Lim Kok Thay receives S$7.5 million pay package for FY2025
