AirAsia X offers 790m shares in Malaysian IPO
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Buy SPH photosKUALA LUMPUR (AFP) - The long-haul arm of budget carrier AirAsia is offering 790 million shares in an initial public offering (IPO) next year to raise funds and expand its fleet, a draft prospectus showed on Friday.
Malaysia-based AirAsia X said in the document that 685.6 million shares would be offered to institutional investors and 104.4 million units to retail buyers, making up a third of the company's enlarged capital.
AirAsia officials refused to confirm the value of the IPO when contacted by AFP, but an industry source, speaking under the condition of anonymity, said the airline plans to raise about US$250 million (S$305 million).
The company, controlled by Malaysian tycoon Tony Fernandes, said in the prospectus that it plans to increase routes and expand its fleet to 32 planes by 2016.
