AirAsia X (AAX) has reached a mutual agreement with Malaysian investment firm Capital A, to extend the timeline for completing its proposed acquisition of Capital A’s aviation business, which includes AirAsia Aviation Group and AirAsia.
The transactions timeline has been extended by two months from January 25 to March 24, 2025. During this period, AAX will also finalise definitive terms with identified investors for the proposed private placement, aimed at raising gross proceeds of RM1bn ($228.2 million). All due diligence processes for both entities have been successfully finalised, the company confirmed.
Shareholders approved the proposed acquisition of Capital A's equity interest in AirAsia by AirAsia X for RM6.8bn ($1.58bn) in October 2024. The acquisition was approved at an extraordinary general meeting (EGM) held on October 16, 2024, with 99.08% of shareholders voting in favour of the acquisition.
“This extension is a pragmatic step to ensure all aspects of the transaction are thoroughly and meticulously addressed,” said Benyamin Ismail, CEO of AirAsia X. “This includes securing final approvals and consents from relevant authorities, financiers, and lessors - most of which have already been substantially completed.”
The acquisition is set to provide AirAsia X with 200 aircraft from the airline’s current fleet along with 361 that are on order books from Capital A’s aviation portfolio.