AirAsia X Berhad (AAX) has announced a mutual agreement with Capital A Berhad (Capital A) to extend the timeline for completing its proposed acquisition of Capital A’s aviation business, which includes AirAsia Aviation Group Limited (AAAGL) and AirAsia Berhad (AAB).
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The timeline has been extended by two months, from 25 January to 24 March 2025, allowing both parties additional time to finalise the transaction for AAAGL and AAB. During this period, AAX will also finalise the definitive terms with identified investors for the Proposed Private Placement, aimed at raising gross proceeds of RM1 billion. All due diligence processes for both entities have been successfully finalised.
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AirAsia X CEO, Benyamin Ismail said: “We are fast approaching the finish line. The majority of key milestones in the process have already been achieved including the unanimous approval of our shareholders at the Extraordinary General Meeting held in October 2024.
“This extension is a pragmatic step to ensure all aspects of the transaction are thoroughly and meticulously addressed, including securing the final approvals and consents from relevant authorities, financiers, and lessors—most of which have already been substantially completed.
“We look forward to the completion of the proposed transactions, as the integration of all AirAsia branded airlines into one strengthened entity will be a game changer for the industry, paving the way in revolutionising the future of low-cost air travel.”
The proposed acquisitions are anticipated to unlock significant synergies, including enhanced network connectivity, optimised fleet utilisation, and improved cost efficiencies. By consolidating operations under one entity, the airline will be better positioned to expand its market presence across Asia-Pacific and beyond while delivering greater value to shareholders and customers.
About AirAsia
The birth story of AirAsia, the aviation arm of Capital A, is an industry legend. It started back in 2001 when Tony Fernandes and Kamarudin Meranun bought an ailing airline with two aircraft and 200 staff and turned it into the fourth largest in Asia, with more than 200 aircraft and 21,000 staff across Malaysia, Thailand, Indonesia, the Philippines, Cambodia and more.
With affordability, inclusivity and accessibility underpinning the operation, AirAsia has carried more than 800 million guests to over 130 destinations in its network. With the mission to serve the underserved, it has connected people and places, and has largely been credited for democratising air travel in the region with its famous tagline ‘Now Everyone Can Fly’.
