Questions around this news
What is the proposed acquisition intended to bring together?
The proposal is intended to place short-haul and medium-haul airline operations under one aviation group. Company representatives say this could support a more connected network, improve cost and operational efficiency, and help the airlines respond to demand for low-cost air travel. The release presents these as expected benefits, rather than completed outcomes.
What is an extraordinary general meeting?
An extraordinary general meeting is a shareholders’ meeting called to consider matters that require shareholder attention outside the company’s regular annual meeting. Depending on the matter and applicable rules, shareholders may discuss proposals and vote on them. A notice and accompanying materials typically explain the business to be considered and how eligible shareholders can participate.
What does multi-hub airline operation mean?
A multi-hub airline operation uses more than one airport as a base for connecting flights and organizing services. This can let an airline link passengers and routes through several locations instead of relying on a single central hub. How it is set up varies, and the term does not by itself specify an airline’s route network or schedule.
SEPANG, September 25, 2024 -- AirAsia X Berhad (“AAX” or “the Company”) will hold an Extraordinary General Meeting (EGM) on 16 October 2024 for shareholders to vote on the proposed acquisitions of Capital A Berhad’s entire equity interest in the aviation business in AirAsia Aviation Group Limited and AirAsia Berhad.
The proposed acquisitions are set to bring both the short-haul and medium-haul operations under one aviation group, creating a more unified, efficient, and expansive network to meet the rising global demand for low-cost air travel.
Following the EGM notice, the Circular to Shareholders will be dispatched, providing shareholders with detailed insights into the proposed acquisitions.
Dato' Fam Lee Ee, Chairman of AirAsia X, commented on the announcement: "The EGM marks an important milestone on AirAsia X’s journey towards completing this transformative acquisition. We look forward to engaging with our shareholders as we pursue this strategic move to future-proof AirAsia for sustainable, long-term growth.”
"By consolidating both short-haul and medium-haul operations under a strengthened entity, we expect to achieve meaningful synergies that will enhance cost and operational efficiencies, expand our market presence, and improve financial performance, ultimately benefiting our customers, the Company, AAX shareholders and the communities the AirAsia group of airlines serve.”
Benyamin Ismail, CEO of AirAsia X added: “Both AirAsia X and AirAsia have extensive experience in multi-hub operations across Asia, and this proposed acquisition will position us to meet the growing global demand for air travel more efficiently. The revitalisation and planned expansion of both airlines’ fleets, along with our ability to optimise operations based on demand, will not only fuel growth into new destinations but also support the launch of routes across various continents, all while maintaining our commitment to providing low-cost travel.
“This EGM will be a key moment for our shareholders to help shape the future direction of AAX. The proposed acquisitions are envisioned to place the Company in a strong position to strengthen airline operations and future-proof its business, enhancing its ability to navigate the ever-evolving aviation landscape and meet the demands of a rapidly growing global travel market.”
If you detect any issues, problems, or errors in this press release content, kindly contact [email protected] to notify us (it is important to note that this email is the authorized channel for such matters, sending multiple emails to multiple addresses does not necessarily help expedite your request). We will respond and rectify the situation in the next 8 hours.
At a glance
- Company
- AirAsia X Berhad
- Announcement
- Acquisition
- Location
- Sepang
Key figures
- EGM date
- 16 October 2024
People
- Dato' Fam Lee EeChairman of AirAsia X
- Benyamin IsmailCEO of AirAsia X
