July 21, 2021

AirAsia Takes Time To Find Personal Placement

 The low -cost carrier, AirAsia Group Bhd is applying for an extension from Bursa Malaysia to give the company time to complete the personal placement.

According to a statement issued, AirAsia had submitted an application to Bursa on Monday to extend the time from August 2 to December 31 in the process of managing private placements.

During the midday break, AirAsia shares were unchanged at 82.5 sen with a group value of RM3.22 billion.

In January, the group plans to issue a total of 668.39 million new shares or 20% of its share capital for private placement of up to RM454.51 million.

That aspect is a response to an unexpected and out of control situation mainly caused by the Covid-19 pandemic outbreak which has posed a major challenge to the aviation industry.

Through the new capital received, AirAsia has allocated RM146.63 million to complete the fuel hedge and RM135.57 million for working capital requirements.

In addition, RM95.19 million will be allocated for aircraft rental and maintenance payments and a total of RM76.96 million will be used for the and Bigpay digital businesses.