airasia-followon-raises-144-million

AirAsia follow-on raises $144 million

Malaysian regulations governing the foreign ownership of airlines constrain the final deal size.

Low-cost carrier AirAsia Berhad yesterday raised M$505 million $144 million through a fully marketed follow-on. The deal ended a little smaller than originally intended after it ran into restrictions regulating the foreign ownership of airlines.

The base deal size was 400 million new ordinary shares, offered at a price between M$1.33 and M$1.40 apiece, which translates into a discount of 0.7% to 5.7% versus Monday's closing price of M$1.41. The deal priced at the bottom, M$1.33, giving the full 5.7% discount.

There was also an upsize option which could have increased the deal size by 75 million shares. Fully exercised, the 475 million shares could have raised as much as $180 million, based on...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222