KUALA LUMPUR, Oct 22 (Reuters) - Malaysia's finances service AirAsia Group Bhd has secured a mortga
KUALA LUMPUR, Oct 22 (Reuters) – Malaysia’s finances service AirAsia Group Bhd has secured a mortgage as a part of its ongoing capital elevating plans, an govt stated on Thursday.
Riad Asmat, CEO of the group’s Malaysian unit, AirAsia Bhd, stated “a mortgage has been accepted and disbursed”, in response to a Reuters question a few report from New Straits Instances that stated the airline had secured a 300 million ringgit ($72 million) mortgage to maintain it afloat amid the coronavirus pandemic.
The report, citing sources, stated the airline took the mortgage from Sabah Improvement Financial institution Bhd and that it might tide the airline over for 2 months, financing native operations.
“We might not be capable of disclose the specifics together with the lender(s) and quantity concerned. This mortgage is a part of the capital elevating train by AirAsia Group, which is transferring in the appropriate route and we’re happy with the progress,” Riad stated.
Sabah Improvement Financial institution couldn’t instantly be reached for remark.
AirAsia has stated it’s seeking to increase as a lot as 2.5 billion ringgit by year-end, 1.5 billion ringgit of which may very well be in financial institution loans.
The group has additionally been in search of a portion of its loans to be assured by the federal government.
Two weeks in the past, its lengthy haul arm AirAsia X Bhd AIRX.KL proposed at a $15.three billion debt restructuring and chopping share capital to keep away from liquidation.
($1 = 4.1440 ringgit)
(Reporting by Liz Lee; Modifying by Mark Potter)
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