Quick take: AirAsia X falls 8% after UK lawsuit

KUALA LUMPUR: Shares in AirAsia X Bhd (AAX) fell in early trade Monday following an order to pay RM133mil in the UK.

The carrier fell 8.33%, or 0.5 sen to 5.5 sen with 7.2 million shares traded. In the past one year, the counter has fallen 61.29%.

AAX has lost the RM95.33mil or US$22.98mil suit brought against it in the UK by BOC Aviation

Ltd (BOCA), over an alleged breach of contract involving aircraft leasing.

AAX said it, together with its indirect wholly-owned subsidiary AAX Leasing Two Ltd, received a sealed copy of the order, dated Nov 6, that was made by the High Court of Justice in the Business and Property Courts of England and Wales.

It said the court has granted BOCA a summary judgment in the case against AAX and AAX Leasing Two, and that they have to pay US$23.78mil (RM97.31mil) to BOCA, comprising BOCA's claimed sum of US$22.98mil (inclusive of interest up to June 30) and US$401,386.85 as interest owed.

"The financial impact to the group will be a cash outflow equal to the amount of the said order. There is no operational impact to the group.

"The board of AAX is currently reviewing the documentations received in respect of the said Order and will be seeking legal advice in relation to the said order," it said, adding it had not entered appearance in the said claim, in view of its current debt restructuring exercise.

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AirAsia X , AAX , BOCA , BOC Aviation


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