KUALA LUMPUR (March 28): AirAsia Bhd's stock has been soaring by as much as 4.42% today, as a fresh report on its long-rumoured privatisation by its founder Tan Sri Tony Fernandes appeared in this week's The Edge weekly.

At 3:25pm, the low-cost carrier (LCC) saw its stock rise to the day's highest of RM1.89, adding nine sen and registering a trade volume of 34.52 million. The counter was the second most actively traded entity on Bursa Malaysia as at writing.

The weekly, in its latest issue dated March 28–April 3, reported that Fernandes and Datuk Kamaruddin Meranun, who collectively control 18.87% of AirAsia through Tune Air Sdn Bhd, are planning to privatise the airline in partnership with a company under state-owned China Everbright Bank Co.

Talks of privatising AirAsia has permeated the market a number of times, with the recent being in the second half of last year, which caused the stock to rally. A source in The Edge report was quoted as saying that Fernandes had tried to privatise AirAsia, but failed because of funding issues.

"… But this time, things are firmer," the source said in the report.

It would take roughly RM5 billion for Fernandes and the related parties to buy the 81.13% of AirAsia shares not owned by Tune Air, based on adding a presumed 20% premium to last Friday's closing price of RM1.84. This would then make the shares valued at RM2.21 each.

AirAsia had a book value per share of RM1.60, as at December 2015.