📋 Tender Overview
Group photo with the Board of Directors from all entities of Capital A, AirAsia X, and AirAsia Aviation Group Limited. From left to right: Tan Sri Jamaludin Ibrahim, Dato Sri Mohammed Shazalli Ramly, Dato Abdul Mutalib Alias, Tan Sri Tony Fernandes, Brigadier General (Ret.) Dato Fadzillah Abdullah, Datuk Fam Lee Ee, Datuk Kamarudin Meranun, Dato Abdel Aziz @ Abdul Aziz bin Abu Bakar, Dato Mohamed Khadar Merican, Senator Datuk Dr. Ras Adiba Radzi, and Ms. Chin Min Ming.
All the main requirements for the airline business release have been met and the agreement is now unconditional. The settlement is targeted for December, followed by plans to apply for the lifting of PN17 status* by the end of the year, after nearly six years since the beginning of the pandemic. Focus on the formation of two entities: the integrated airline group, AirAsia Group, and the travel and digital group, Capital A. Kuala Lumpur, October 31, 2025 - Capital A Berhad (Capital A), the parent company of AirAsia, announced that all requirements for the release of the airline business have been met, and the sale and purchase agreement with AirAsia X Berhad (AirAsia X) is now unconditional. This step marks the final phase of consolidating all AirAsia airlines into one flight group, while also starting a new journey for Capital A as a multi-platform company in the travel and digital sector. All stakeholder approvals and a funding commitment of RM1 billion for AirAsia X have been received, including the completion of regulatory requirements from Thailand on October 17. With the status of the agreement now unconditional, the next process includes the capital reduction of Capital A, distribution, allocation, and listing of AirAsia X shares, as well as other administrative steps. This stage is expected to be completed in December, after which Capital A plans to apply for the lifting of PN17 status in the same month. Capital A CEO, Tony Fernandes, said on Thursday, October 30: Today is a very meaningful day for me because we can finally announce that all the main requirements have been met and this agreement is now unconditional. Over the past year, we have continued to push every approval process and faced various challenges to ensure this transaction could be completed. We are now at the final chapter of a long journey that felt endless. We did not stop, and instead rose stronger, with a more solid airline group and five strong new companies under Capital A. We will begin the next journey with two companies focused on their respective fields. The airline group, which will be named AirAsia Group, will combine all seven AirAsia airlines, both medium and short-haul, into one platform to operate as one network across the region. Meanwhile, Capital A will focus on developing five travel and digital businesses with high growth potential. I want to thank all the Allstars who never gave up. We will never forget those who continued to support us throughout this journey. Our success in surviving and bouncing back shows that resilience and discipline always yield results. After the airline consolidation is complete, AirAsia Group will operate as a single entity with a strategy focused on several key mega-hubs in the region, rather than relying on just one domestic market. Our vision is to become the worlds first low-cost network airline based on narrow-body aircraft. This approach will enhance connectivity for guests, optimize aircraft utilization, lower unit operating costs, and open up space for new growth, focusing on narrow-body aircraft such as the Airbus A321neo and A321XLR with longer ranges. Meanwhile, the five companies that remain under Capital A will be the next chapter of the groups evolution beyond the aviation business. Each business - ADE (engineering), Teleport (logistics), AirAsia MOVE (travel platform), Santan (food and beverage business), and the brand licensing and intellectual property business Abc., which will be renamed AirAsia NEXT. Together, they all have the potential to become market leaders in their respective industries and redefine the business landscape in ASEAN, just as AirAsia has revolutionized air travel in the region. These businesses leverage Capital As extensive data, technology, and customer engagement ecosystem to create cross-platform value. With strong leadership, proven execution capabilities, and a culture of innovation, Capital A is committed to continuing to develop these five companies, driving sustainable growth, and creating value for shareholders. Todays announcement confirms that the restructuring process has entered its final stage and Capital A is preparing to embark on the next journey after completing the PN17 process. *PN17 is a special watch status for companies undergoing financial recovery processes on the Malaysian Stock Exchange. ***END***
