PETALING JAYA: AirAsia Bhd is said to be planning a placement of new shares to its main shareholder, Tune Air Sdn Bhd.

Tune Air is the largest shareholder with a 19.09% stake.

Sources said the additional new shares may increase Tune Air’s stake in AirAsia to about 30%.

“The idea behind it is to strengthen Tune Air’s commitment to AirAsia in the longer term,” the sources said.

Tune Air is controlled by AirAsia group CEO Tan Sri Tony Fernandes and his long-time business partner, Datuk Kamarudin Meranun.

Shares in AirAsia would be suspended from trading today at its own request to make way for a material announcement, the company said in a filing to Bursa Malaysia yesterday.

AirAsia’s shares were last traded unchanged at RM1.83 per share.

Year-to-date, the counter, which has been rallying in recent weeks on speculation that the company’s founders were planning to privatise the budget airline, has gained 41.86%.

AirAsia had on Wednesday denied any privatisation talks.

Talks of privatisation have surfaced about five times since AirAsia was listed in November 2004.

AirAsia had called for an EGM on Dec 15, 2015, to secure shareholders’ mandate to buy back 10% of its shares.

“It effectively sends out a firm message that it is not for sale,” said Maybank Investment Bank in its research note recently.

Fernandes and Kamarudin are playing a more active role in the AirAsia group, which has operations in several countries.

Recently, the Indian operations saw a major revamp in a bid to strengthen the business there.

http://www.thestar.com.my/business/business-news/2016/04/01/share-placement-on-the-cards-for-airasia/