The shares will be issued at RM1.84 per share and be satisfied in cash.

In a filing to Bursa Malaysia today, it said the airline had on April 1 entered into a conditional subscription agreement with Tune Live Sdn Bhd, an investment holding company owned by both Anthony Francis Fernandes and Kamarudin Meranun, pertaining to the matter.

The airline said the subscription shares would represent 16.7% of AirAsia’s enlarged issued and paid-up share capital.

“Based on the issue price, AirAsia would raise gross cash proceeds of RM1.006 billion,” it said, adding that the proceeds would be utilised, among others, for pre-payment and repayment of the group’s indebtedness and pre-delivery payments for aircraft, general corporate and working capital.

– BERNAMA