Fernandes bets big on AirAsia breakup
On October 30, Capital A Bhd confirmed that all conditions for selling its airline business have been satisfied, making the sale and purchase agreements with AirAsia X Bhd unconditional. Chief Executive Officer Tan Sri Tony Fernandes said the move marks the completion of its aviation operations restructuring and marks the start of a new phase as a multi-platform travel and digital company.
The milestone follows receipt of all stakeholder approvals and commitment letters for an RM1 billion private placement to AirAsia X. On October 17, 2025, the companies also cleared a regulatory hurdle involving an exemption from the Thai authorities. Completion of the remaining steps, such as Capital A’s capital reduction, share allotment, and listing procedures, is expected by December, along with a Practice Note 17 uplift application.
After the deal closes, the airline operations will be unified under the AirAsia Group, combining seven carriers into one regional network centered on multiple megahubs. Capital A will shift focus to five businesses: ADE, Teleport, AirAsia MOVE, Santan, and Abc., which will become AirAsia NEXT. Fernandes said the airline will now grow in a cash-positive manner.
