KUALA LUMPUR: Malaysia's AirAsia X
targets US$500mil to US$600mil in debt restructuring after the budget airline this week bought the short-haul aviation business of Capital A, Deputy Group CEO Farouk Kamal said.
AirAsia X, the medium-haul affiliate of Capital A's AirAsia, plans to combine the firms' seven airlines under one banner.
"We are also looking at a lot of refinancing initiatives ... to stretch out the tenure, to reduce the interest costs and to collapse all our debt instruments into one or two loan instruments," Farouk said in an interview on Wednesday.
The AirAsia group has become one of Asia's largest budget airline operators since its 2001 founding. However, pandemic travel restrictions decimated AirAsia parent Capital A prompting Malaysia's stock exchange to classify it as financially distressed.
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