Capital A in the final stages of PN17 exit plan
KUALA LUMPUR: Capital A Bhd is in the final stage of its regularisation plan to exit the Practice Note 17 (PN17) status, with only 15 to 20 per cent of the process remaining, expected to be completed the latest by end of July 2025, said its chief executive officer Tan Sri Tony Fernandes.
"Building an airline was very tough, getting out of PN17 is tougher. We are on the last 15 to 20 per cent, I can see the finish line.
"I think it is an exciting time for Capital A. We just have to cross that PN17 barrier, which I think we are almost there. It is out of my control, but I think our latest target is end of July," he told Bernama today.
Capital A fell into Bursa Malaysia's PN17 category of financially distressed entities in January 2022.
Fernandes said the group is working through a few final tasks before concluding its PN17 exit plan -- among them is to finalised the proposed disposal of its entire 100 per cent stake in AirAsia Aviation Group Ltd (AAAGL) and AirAsia Bhd (AAB) to AirAsia X Bhd (AAX).
AAAGL operates passenger airline services through subsidiaries in Thailand, Indonesia, the Philippines and Cambodia.
"Our plan requires three more things to be completed. First, the Thai Stock Exchange (SET) has to agree (on the proposed disposal) -- we have a backup plan if we cannot get it agreed, but I am confident we can get it agreed.
"Second, we need five consent letters from our creditors and we already have four, and third is the RM1 billion of equity, which we have," he said.
Fernandes added that once the proposed disposal of AirAsia's aviation business is completed, the group will seek court confirmation for its capital reduction plan.
Meanwhile, commenting on Capital A's plan for potential listing on the Hong Kong Stock Exchange (HKEX), Fernandes said its board of directors has given approval and is very serious about pursuing the proposals.
He also reaffirmed the group's intention to list its brand management arm, ABC International, on the Nasdaq in the United States.
"Once we get out of PN17, two things i can say, one is the Hong Kong listing and two, we will go back to listing the ABC International, which was formerly known as Capital A International in America," he noted. - Bernama
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Borneo Post
30 minutes ago
- Borneo Post
KTC acquires RM40 million land at KKIP to develop largest integrated hub
Dexter Lau KOTA KINABALU (June 11): Kim Teck Cheong Consolidated Berhad (KTC), a leading fast-moving consumer goods distributor in East Malaysia, has successful acquired land valued at RM40 million at Kota Kinabalu Industrial Park (KKIP) for the development of KTC Industrial Park, the Group's largest integrated hub for operations, logistics and manufacturing. The latest investment is poised to expand KTC's existing operational base by 40 percent, while revenue is expected to surge by extra 50 percent. This strategic move will drive the KTC's annual turnover to the tune of RM1.5 billion to RM1.6 billion, further solidifying its position as a leading company in Sabah, East Malaysia and Borneo Island. KTC Executive Director Datuk Dexter Lau said this strategic investment marks a significant milestone in the group's long-term growth strategy and is set to support its expansions over the next five years. The newly acquired land is situated in a high-growth industrial zone and will serve as the foundation for KTC's future developments in warehousing, logistics infrastructure, transportation fleet, and operational facilities. This expansion is expected to enhance operational efficiency, streamline supply chain capabilities, and further strengthen the Group's presence in both existing and new markets across Malaysia. The KTC Industrial Park is set to become one of the largest FMCG distribution centres in the region, designed to efficiently serve markets across Sabah, Sarawak, Brunei and Indonesia. 'This investment is a strategic move that position us for sustainable growth. As we continue to upscale our operations, this land will provide the space and infrastructure needed to meet growing demand to serve our business partners effectively,' said Lau. He emphasized that the acquisition is aligned with KTC's mission to build long-term value through operational excellence and strategic foresight. The new KTC Industrial Park will significantly enhance the Group's logistics capabilities, enabling it to meet the increasing demand for FMCG products across multiple regions. 'This development not only reflects our commitment to operational excellence and regional economic growth, but is also expected to create job opportunities and drive the expansion of a broader supply chain ecosystem in East Malaysia and surrounding regions.' Lau also revealed KTC has already surpassed RM1 billion in revenue as of June this year, and is continuing on a strong growth trajectory. He shared that KTC's total operational area currently spans 500,000 square feet. With the development of the KTC Industrial Park on the newly acquired 15-acre land in KKIP, the Group's operational base will increase significantly by 40 percent, while its revenue is projected to grow to RM1.5 billion to RM1.6 billion. 'We will begin construction of the KTC Industrial Park in KKIP as soon as possible, with a total investment of RM100 million. 'The industrial park is expected to create 500 new jobs. We will prioritize on hiring locals from disadvantaged backgrounds to support the government's poverty eradication efforts.' Lau also disclosed that the KTC Board of Directors has approved an additional RM10 million investments in Sarawak in the same period. As a result, KTC's revenue is expected to grow by an overall of 50 per cent in East Malaysia – 40 percent in Sabah and 10 percent in Sarawak – over the next two to three years. As a Main Market listed company on Bursa Malaysia, KTC currently has a workforce of 2,000 across Sabah, Sarawak, Brunei and Peninsular Malaysia, and remains one of the leading companies in Sabah.
Barnama
an hour ago
- Barnama
Maybank Underwrites RM2.5 Bln For Dayone's Green Data Centres In JS-SEZ
KUALA LUMPUR, June 11 (Bernama) -- Maybank is underwriting RM2.5 billion, which is one-third and the largest share of the biggest syndicated Islamic financing for data centres in Asia Pacific, to support DayOne Data Centers (DayOne) green data centres in the Johor-Singapore Special Economic Zone (JS-SEZ). This onshore ringgit Islamic tranche amounting to RM7.5 billion, and an equivalent US Dollar-denominated offshore conventional tranche, form a five-year, dual-currency green financing package totalling RM15 billion. The borrower, WG Data Hub Sdn Bhd, a wholly owned subsidiary of DayOne, shall use the proceeds to develop data centres of Leadership in Energy and Environmental Design (LEED) Gold-certified and above. LEED is an internationally recognised and globally utilised green building certification system.
Barnama
an hour ago
- Barnama
China, US Agree On Plan To Ease Trade Tensions After Talks In London
WORLD ISTANBUL, June 11 (Bernama-Anadolu) -- China and the United States (US) have agreed on a framework and implementation plan after two days of trade talks in the UK, China's top trade envoy Li Chenggang said late Tuesday, Anadolu Ajansi reported. 'The two sides agreed, in principle, on the framework for implementing the consensus of the two heads of state in their firm call on the 5th of June, as well as the consensus of the meeting in Geneva,' Li told journalists in London. He said both sides would report back to their leaders on the talks and the framework reached in the UK. Li said the Chinese and US teams worked 'very diligently' and had 'very in-depth exchanges' over the past few days, adding that their communication was 'very professional, rational, in-depth and candid.' He expressed hope that the progress in the talks would be 'conducive to increasing trust' between the two countries, to promote stable trade and economic relations, and contribute positively to global economic development. A new round of trade talks between the US and China aiming to reach a deal started on Monday in London. The talks were expected to revolve around China's restrictions on exports of rare earths to the US and Washington's restrictions on some tech exports to China, as well as the dispute over tariffs. The meeting followed US President Donald Trump's phone conversation with Chinese President Xi Jinping last week, with Trump saying later that the conversation "resulted in a very positive conclusion for both countries." The two sides are aiming to build on a 12th May deal struck in Geneva, when they agreed to a 90-day suspension of most duties and to roll back measures imposed since early April after Trump announced "reciprocal" tariffs on US trading partners.
