AirAsia, Thai AirAsia to list in SET

The Malaysia-based no-frills airline group AirAsia and its sister Thai airline have set their sights on separate listings on the Stock Exchange of Thailand (SET) to raise fund to support their aggressive expansion plans.

AirAsia group chief executive Tony Fernandes and Thai AirAsia chief executive Tassapon Bijleveld separately declared their intention to tap the Bangkok stock market.

The budget airline's Indonesian arm, Indonesia AirAsia, would also be listed on the Jakarta Stock Exchange later, as part of the group's common move to turn all its airlines into publicly traded companies.

AirAsia Bhd, which is already listed in Kuala Lumpur, is pursuing a dual listing in SET, while Bangkok-based Thai AirAsia, 49% owned by AirAsia Bhd, has been in discussion with SET and securities firms about its entry into the Thai stock market.

Mr Tassapon on Friday confirmed the plans of AirAsia and Thai AirAsia to list on the SET but said it is premature to discuss details like the size of public offering, share price and timing.

While Mr Fernandes did not indicate the timing for listing AirAsia Bhd, Thai AirAsia is looking into getting listed in 2010 or 2011, said the Thai executive.

AirAsia Bhd has hired CIMB Investment Bank Bhd, part of Malaysia's second-largest bank CIMB Group Holdings, as lead arranger for the Thai stock listing.

Thai AirAsia has been in contact with several local securities firms to get proposals for assuming a similar role.

By listing in the three Asian stock markets, Asia's largest low-cost carrier group hopes to gain "synergy'' and to enhance the airlines' "Asean'' identity, said Mr Tassapon.