An AirAsia X Airbus A340 passenger jet arrives on its inaugural flight from Kuala Lumpur to Paris Orly Airport in this February 14, 2011. REUTERS/Charles Platiau/File Photo
KUALA LUMPUR, July 12 (Reuters) – Malaysian budget carrier AirAsia Group Berhad (AIRA.KL) plans to raise up to 1 billion ringgit ($238.72 million) through a rights issue, it said on Monday.
The airline has been looking to raise funds to weather the global travel slump triggered by the COVID-19 pandemic.
The rights issue will be used to fund AirAsia’s working capital and other operational costs, and to grow its digital businesses, the company said in a statement.
“The exercise will provide a platform to seek a fresh funding injection from shareholders to maintain liquidity during the downtime in flying and fuel growth of the key non-airline digital businesses,” AirAsia Chief Executive Tony Fernandes said.
The company…
