AirAsia exploring India unit’s IPO, says CEO Tony Fernandes

By Reuters

  • 10 Jan 2018
Tony Fernandes | Credit: Reuters

Malaysia-based carrier AirAsia Bhd’s India unit is looking at a potential initial public offering, the group’s chief executive, Tony Fernandes, said on Wednesday.

The company will seek approval at AirAsia India’s next board meeting to pick a banker to start the preliminary process for the IPO, Fernandes said on Twitter.

“Analysts (are) giving zero value to AirAsia India. Not far from 20 planes and a potential IPO,” Fernandes tweeted.

It’s a “very valuable asset with huge growth potential,” he said.

AirAsia India, a tie-up between Asia’s biggest low-cost airline and India’s Tata Sons conglomerate, made revenue of 6 billion rupees ($94.24 million) in 2016 and expects revenue to double to 12 billion rupees in 2017.