The completion of AirAsia X (AAX)’s acquisition of Capital A’s aviation business, which includes the AirAsia Aviation Group and AirAsia, has again been extended, with the transaction now expected to close on May 30, 2025.
This acquisition by AirAsia X was supposed to be finalised in January but was extended by shareholders to March 24, 2025. Shareholders originally approved the proposed acquisition of Capital A's equity interest in AirAsia by AirAsia X for RM6.8bn ($1.58bn) in October 2024.
All parties involved have mutually agreed to extend the transaction deadline, as regulatory approvals, approvals from financiers, lenders and third-party consents are still in the process of being finalised, according to an announcement from Bursa Malaysia.
Additionally, Capital A received court approval last week for its share capital reduction and repayment process, paving the way for the proposed distribution of AAX shares to its shareholders.
However, the final amount of the reduction will depend on the AAX share price at the time of the final court application after the entitlement date.
This news comes as AirAsia said it will introduce more than 30 new routes during 2025. The newly announced network optimisation is expected to be completed by the second quarter of the year, with frequency increases across routes beginning in the same period.
The airline said it is evaluating new routes to meet “growing intra-Asia travel demand” driven by easing visa initiatives across key markets throughout Asia.
This year, the airline expects to operate a fleet of 234 narrowbody aircraft across the airline’s five short-haul airlines, restoring full pre-pandemic capacity. Only 16 aircraft remain to be reactivated,
In addition, 14 new aircraft deliveries have been confirmed for 2025, with four coming from Airbus and 10 via lessors.
Bo Lingam, CEO of the AirAsia Aviation Group, said that an increased network will be anchored by AirAsia’s hubs in Kuala Lumpur and Bangkok.
Most recently, AirAsia said it would relocate its domestic operations in April, moving from Sultan Abdul Aziz Shah Airport (Subang Airport) to Kuala Lumpur International Airport Terminal 2 (KLIA T2), citing an increase in passenger volumes.