AirAsia Group Bhd, Asia’s leading low cost carrier (LCC), has secured financing to the tune of RM1bil that will give it the much needed cash flow to survive the turbulent times of the industry.
Sources say a consortium of local banks has put together the financing package that the LCC can withdraw over time. It will now seek a guarantee from Danajamin for 80% of the loan. Drawdown on the loan is contingent upon AirAsia flying to international destinations. The hope is that travel bubbles will be initiated in stages to destinations in Asia, with Singapore set to be the first stop.