Capital A completes sale of aviation businesses to AirAsia X in major restructuring

Capital A has completed the disposal of its aviation businesses to AirAsia X, concluding a major restructuring intended to consolidate the group’s airline operations under a single umbrella. The company also reduced its direct stake in the long-haul carrier by 3.8 percentage points as part of broader corporate adjustments.

According to a Bursa Malaysia filing, the disposal, finalised on 16 January 2026, was settled through the issuance of approximately 2.3 billion AirAsia X shares to Capital A and its shareholders. AirAsia X also assumed MYR3.8 billion (approx. €3.2bn) in debt owed by Capital A to AirAsia Berhad.

AirAsia Aviation Group functions as the vehicle for all non-Malaysian joint ventures using the AirAsia brand. In parallel, AirAsia X completed a private placement on 16 January, issuing 606 million new shares to raise MYR1 billion (approx. €0.85bn). Both sets of shares were listed on 19 January.

Separately, Capital A sold 17 million AirAsia X shares on 14 January for MYR28.1 million (approx. €24m), reducing its direct ownership from 12.77% to 8.96%. The company noted the reduction ensures collective shareholding remains below the 33% mandatory takeover threshold. While Capital A retains minority ownership, its primary focus will now shift to non-aviation operations.

Tony Fernandes, CEO of Capital A, described the transaction as “the most challenging chapter” in the firm’s history, adding that the restructuring allows the company to concentrate on exiting its Practice Note 17 financial distress status.

AirAsia X has indicated it is exploring a corporate rebranding to AirAsia Group but has not yet filed formal applications. The restructuring positions the airline for streamlined operations while Capital A turns its focus to non-aviation ventures.

Explore the full details of Capital A’s restructuring and AirAsia X’s consolidation plans in the complete article.