Friday 29 Mar 2024
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KUALA LUMPUR (Dec 29): AirAsia Bhd has completed the listing of its Indonesian arm, Indonesia AirAsia (IAA) following PT AirAsia Indonesia Tbk’s (AAID’s) acquisition of a 57.25% stake in IAA.

AAID had recently completed a rights issue which raised 3.4 trillion rupiah (RM1.06 billion) and divested its coal trading and transportation business for 26 billion rupiah, the proceeds of which will be used as its working capital.

Meanwhile, AirAsia’s wholly-owned subsidiary, AirAsia Investment Ltd (AAIL), continues to hold a 20.95% direct interest in IAA.

It had also acquired a 47.71% shareholding in AAID, previously known as PT Rimau Multi Putra Pratama Tbk, pursuant to the transfer of IAA Perpetual Securities to the company worth a total of 1.27 trillion rupiah.

Based on today’s last traded price of 240 rupiah, the value of AAIL’s quoted investments in AAID is 1,223.5 billion rupiah or equivalent to RM367.1 million.

The corporate exercise is meant to provide IAA access to Indonesia’s equity capital markets, increase its visibility and profile, and enable it to benefit from higher corporate governance standards, AirAsia said.

PT RHB Sekuritas Indonesia was the principal adviser and principal arranger for the transaction whereas Hiswara Bunjamin & Tandjung, in association with Herbert Smith Freehills, acted as legal counsels for the transaction.

Shares in AirAsia rose 2 sen or 0.6% to close at RM3.35 today, giving the group a market capitalisation of RM11.2 billion.

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