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Capital A, AirAsia X, seek more time for negotiation on strategic transaction
March 18th 2024
AirAsia X (AAX) and Capital A, the parent company of AirAsia Aviation Group and Malaysia-based AirAsia Berhad, have agreed to extend discussions on a strategic transaction through to next month. Read More » "On behalf of the board of directors of the company, RHB Investment Bank Berhad wishes to announce that the company and AAX have mutually agreed to extend the negotiation period until 15 April 2024," Capital A said in a regulatory filing. AAX issued a similar statement. The two parties announced in January AAX had signed a non-binding letter of acceptance with Capital A to acquire aviation businesses AirAsia Berhad and AirAsia Aviation Group Limited. AAX chair, Dato’ Fam Lee Ee, said at the time the transaction consolidated the AirAsia brand as a single-listed entity and reflected a commitment to "capitalise on our regained strength and market confidence to deliver a unified and unparalleled travel experience for our guests and significant value for our shareholders". Capital A CEO, Tony Fernandes, said in January: "Following the sale of the aviation business, Capital A shareholders will become shareholders of the two strong listed companies. We believe this move will bring greater clarity to investments, create a more focused shareholder base, and ultimately unlock value for our shareholders."
