KUALA LUMPUR (Dec 22): Capital A Bhd is requesting another extension to submit its regularisation plan, originally due on Dec 31, 2023, now aiming for June 30, 2024, as disclosed in a bourse filing on Friday.
This marks the fourth time Capital A has sought a deadline extension from Bursa Securities. The initial deadline of Jan 7, 2023, was extended three times — first to July 7, then to Oct 7, and subsequently to Dec 31, 2023.
Capital A triggered Practice Note 17 (PN17) criteria in July 2020 after external auditors EY issued an unqualified audit opinion with material uncertainty regarding on-going concern for its audited financial statements for FY2019. Additionally, its shareholders' equity on a consolidated basis was 50% or less of its share capital.
In November, the group announced it was in the "last stretch" of finalising its PN17 regularisation plan, intending to make a full submission to Bursa Malaysia in the near future.
Separately, Capital A plans to list its AirAsia brand royalty business and aircraft leasing unit in the US through Nasdaq-listed special purpose acquisition company Aetherium Acquisition Corp (GMFI). The group seeks an indicative valuation of US$1 billion (RM4.65 billion) for the listing exercise.
Meanwhile, its sister company, AirAsia X Bhd, exited PN17 status after its appeal was allowed by Bursa Malaysia.
The medium-haul low-cost carrier said the regulator would allow the group's appeal and exempt it from submitting a regularisation plan if it posted a net profit for the third quarter ended Sept 30, 2023; it reported a net profit of RM5.56 million, down 77.83% compared with RM25.09 million posted for the same period last year due to higher aircraft fuel expenses and maintenance and overhaul costs.
Shares in Capital A settled half a sen or 0.59% higher at 85 sen, giving the group a market capitalisation of RM3.62 billion.