Monday 22 Apr 2024
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KUALA LUMPUR (Oct 19): Shares in AirAsia X Bhd (AAX) slumped after noon break on Thursday as Bursa Securities rejected the medium-haul low-cost carrier’s application for a relief from having to submit and implement a regularisation plan for its Practice Note 17 (PN17) status, as well as the upliftment from the status under the Main Market Listing Requirements.

Notably, AAX shares took a nosedive and hit an intraday low of RM1.85.

At the time of writing, the stock then rebounded to trade 10 sen or 4.44% lower at RM2.15, giving the group a market capitalisation of RM961.21 million. The counter also saw 15.87 million shares change hands.

In a bourse filing on Thursday, AAX said Bursa Securities had, vide its letter dated Oct 18, 2023, rejected the airline’s application for the proposed relief and PN17 upliftment that the group had applied for on July 20.

Bursa, however, has granted AAX an extension of time until Jan 17 next year to submit its regularisation plan to the regulatory authorities. Its latest extension is due to expire on Oct 28. AAX had been granted an extension to submit its regularisation plan on two occasions, first for six months till April 28, and then for a further three months till July 28 this year.

"In this regard, the airline will consider all available options (including the possibility of an appeal) and announce the next course of action to be undertaken in due course," said AAX.

Meanwhile, its sister company Capital A Bhd also felt the pinch as its shares traded lower after noon break on Thursday.

At the time of writing, Capital A shares were three sen or 3.23% lower at 90 sen, valuing the company at RM3.81 billion. It saw 28.96 million shares change hands.

Both Capital A and AAX share common shareholders — Capital A co-founders Tan Sri Tony Fernandes and Datuk Kamarudin Meranun.

The top shareholders of AAX are Kamarudin, who holds an 8.94% direct stake, and Fernandes, who holds a 2.69% direct stake, as well as an indirect stake of 31.59% through Tune Group Sdn Bhd (17.83%) and AirAsia Bhd (13.76%).

Both Kamarudin and Fernandes also hold an indirect stake of 24.61% in Capital A through Tune Live Sdn Bhd (12.23%) and Tune Air Sdn Bhd (12.4%). Capital A wholly owns AirAsia.

Edited ByKamarul Azhar
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