Kuala Lumpur: Capital A Bhd expects to complete the consolidation of its aviation business to AirAsia X Bhd and exit Practice Note 17 (PN17) status by the end of this month.
Capital A chief executive officer Tan Sri Tony Fernandes said the group has filed in the court for a capital reduction for Capital A and the pricing of AirAsia Aviation shares.
“We are right to the end,” Fernandes told reporters after announcing an update in the group’s cabin crew uniform policy, which will allow female crew to wear hijab while on duty if they wish to do so.
In late October this year, Capital A said all conditions for its aviation restructuring have been met or waived, allowing all AirAsia-branded airlines to be consolidated under AirAsia X, a key move for Capital A to exit PN17 status.
The group said the share sale and purchase agreements (SSPAs) for the proposed disposals have become unconditional as of Oct 29.
The cut-off date for completion had been extended at least six times—from the original Jan 25, 2025 deadline to March 25, then to May 31, July 31, Aug 31, Sept 30 and most recently to Oct 31 -- to allow additional time for the requisite consent.
On the new cabin crew uniform policy, Fernandes said the rollout, planned for the first quarter of 2026 during the Ramadan month, was a step in ensuring its cabin crew feel comfortable and confident representing AirAsia wherever they fly.
“We are going to give our female cabin crew the option, if they want, to wear a hijab. I think we will be the first airline in Asean to do that. It is an option,” he added.
AirAsia’s iconic red cabin crew uniform will remain unchanged, with the professionally tailored hijab and pants option extending the same design currently worn by crew operating on Jeddah routes. This ensures comfort, safety and brand consistency across the network.
Meanwhile, AirAsia X Bhd (AAX) aims to strengthen its global footprint by tapping into new markets, expanding its fleet, and exploring second-tier cities next year as international travel demand continues to climb.
Its chief executive officer, Benyamin Ismail, said Istanbul, which ranked fourth among the world’s most visited cities, plays a strategic role in the airline’s network expansion plans.
“Our focus for the next two years is to expand into second-tier cities within the four- to five-hour range, where wide-body aircraft are not required. Central Asia remains a key market, with Europe next in line,” he told Bernama.
Benyamin said these two regions are “where we see strong future potential,” adding that the airline’s measured approach is designed to ensure sustainable growth.
As global aviation continues its steady recovery, Benyamin said AAX is well-positioned to capture emerging demand, strengthen east–west travel links, and grow responsibly across its network.
“With our network of 130 destinations, we believe we have a lot to offer. At the same time, connectivity into Asia from this region remains limited. Our presence here opens opportunities for travellers from Türkiye to explore Malaysia, Southeast Asia, Asean, and the wider Asia-Pacific,” he added.
On Nov 14, 2025, AAX made its inaugural flight to Istanbul, Turkiye, recording strong demand in both directions, with the outbound Kuala Lumpur flight operating at 81 per cent capacity and the return flight at nearly 89 per cent.
Acknowledging the higher fuel consumption required for long-haul operations, Benyamin said cost management goes beyond fuel pricing, noting that it is not just fuel, but the entire operation. “In terms of ground handling, finding the right partners, airports, we give good commercial agreements. All play a part. But in terms of fuel, I think fuel prices are relatively similar anywhere, so even on longer routes, we remain confident in offering affordable fares,” Benyamin said.
Reflecting on the airline’s performance this year, he said AAX has surpassed its targets, driven by higher load factors and a strong rebound in passenger volume. “We have exceeded last year’s results.
Load factors have improved, and the number of passengers carried has also increased. Our growth strategy is measured not too aggressively to ensure we expand at the right pace,” he added.
