AirAsia's Long Haul Unit Eyes $300 Million IPO

Air Asia
Source: Jyi1693 | Wikipedia
Air Asia

Long-haul carrier AirAsia X, founded by entrepreneur Tony Fernandes, began meeting investors on Monday to gauge interest for an initial public offering in Malaysia Worth up to $300 million, according to a term sheet of the deal seen by Reuters.

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The company and its shareholders are offering 790.1 million shares, with 75 percent of the offering coming from new shares, according to the terms. The deal is slated to be priced on June 24, with its debut set for July 10.

AirAsia X plans to use 44 percent of the proceeds to repay bank loans, with another 22 percent set for capital expenditures, the terms said.

(Read More: Malaysia to Unleash Up to $2.6 Billion in IPOs)

CIMB, Credit Suisse, Maybank and Morgan Stanley were hired as joint global coordinators on the IPO.