Capital A completes PN17 regularisation following RM5.51bil capital reduction


Capital A chief executive officer Tan Sri Tony Fernandes

KUALA LUMPUR: Capital A Bhd has officially completed its Practice Note 17 (PN17) regularisation plan today following the lodgement of a sealed High Court order confirming a capital reduction of RM5.51 billion.

Capital A said in a statement today that the completion marks the final phase of the group’s restructuring exercise, which included the disposal of its aviation business, AirAsia Bhd and AirAsia Aviation Group Ltd, to AirAsia X Bhd on Jan 16, 2026, the listing and distribution of AirAsia X shares to entitled Capital A shareholders on Jan 19, 2026, and the High Court’s approval of the capital reduction on Jan 21, 2026.

Capital A chief executive officer Tan Sri Tony Fernandes said the group has successfully fulfilled all requirements under its PN17 regularisation plan and is now working towards the uplift from PN17 status.

"The momentum is real for Capital A. Teleport, our logistics arm, just raised US$50 million pre-initial public offering capital at US$500 million valuation to scale globally.

"Furthermore, our non-aviation businesses under Capital A have posted four consecutive profitable quarters from the fourth quarter of 2024 (4Q 2024) to 3Q 2025, and with our shareholders’ funds turning positive as we complete this regularisation plan, we have addressed all PN17 criteria,” he said.

Post-regularisation, Capital A said it will operate as a group focused on five core businesses, namely Asia Digital Engineering (maintenance, repair and overhaul), Teleport (logistics), AirAsia MOVE (travel platform), AirAsia Next (brand and intellectual property), and Santan (food and beverage).

"Together with a consolidated AirAsia Group, the ecosystem is designed to lower costs, grow revenue and deliver sustainable value to customers and shareholders,” Capital A added. - Bernama 

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