AirAsia X has entered into a non-biding letter of acceptance with Capital A for the acquisition of the latter’s aviation businesses, namely AirAsia Berhad and AirAsia Aviation Group Limited.
On Monday (January 8, 2024), AirAsia X (AAX) announced that they have entered into a non-binding letter of acceptance with Capital A for the acquisition of Capital A’s aviation businesses, namely AirAsia Berhad and AirAsia Aviation Group Limited. With the acquisitions, AirAsia X is poised to become the leading regional provider for short and medium-haul routes under the AirAsia brand name. A fully detailed announcement on the proposed acquisitions will be published in due course, subject to the definitive share sale, purchase agreement and its completion.
In Monday’s announcement, AirAsia X’s Chairman, Dato’ Fam Lee Ee, said,
“These strategic acquisitions serve as pivotal milestones in AAX's post-PN17 revival strategy, bolstering our financial stability and enhancing our market positioning. The consolidation under the AirAsia brand as a one-listed entity reflects our 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.
“Leveraging the strengths of all airlines under the AirAsia brand, we are poised to create a pure-play entity that propels us forward. The synergy created through these strategic acquisitions represents more than just a financial consolidation; it symbolises our role as a trailblazer in shaping the future of the aviation industry. The future holds immense potential, and we are excited to embark on this transformative journey.”
Previously known as the AirAsia Group, Capital A is an investment holding company with a portfolio of travel and lifestyle businesses that leverage data and technology, including airasia MOVE (formerly airasia Superapp), fintech BigPay, and logistics venture Teleport.
Source: AirAsia