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44. Significant events
(i) Sale of interest in a joint venture
On 24 August 2017, the Company disposed its entire shareholding in AACOE. Details of the transaction are disclosed in Note 13.
(ii) Consolidation of IAA and PAA
In the first quarter of 2017, the Company entered into a Supplementary BLA with IAA and PAA. Effective from 1 January 2017,
the effective date specified in the Supplementary BLAs, the respective investees have undertaken to comply at all times with
the recommendations made by the Company under the BLA. Pursuant to this, in accordance to MFRS 10, these investees are
deemed as subsidiaries for accounting consolidation purpose. Details of the transaction are disclosed in Note 12.
(iii) Reverse acquisition of AAID
On 29 August 2017, the Company executed Conditional Sale of Perpetual Capital Securities agreements with PT Fersindo
Nusaperkasa(“FNP”)andAAILrespectively.PerpetualCapitalSecurities(“PERPS”)withanominalvalueofIDR1,326,510,000,000
(equivalent to RM426.1 million) and IDR1,274,490,000,000 (equivalent to RM409.4 million) were sold to FNP and AAIL
accordingly. Details of the transaction are disclosed in Note 12.
(iv) Issuance and allotment of 559 million new ordinary shares in the Company
AirAsia Berhad obtained approval from its shareholders at the Extraordinary General Meeting held on 9 May 2016 for the
issuance and allotment of 559,000,000 new ordinary shares in AirAsia Berhad to Tune Live Sdn. Bhd. at an adjusted issue price
of RM1.80 per share. The shares issuance has been completed on 26 January 2017 following the listing of and quotation for the
Subscription Shares on the Main Market of Bursa Securities.
45. Subsequent events
(i) On 4 January 2018, the share swap agreement between Ground Team Red Holdings Sdn Bhd (“GTRH”) and SATS Ltd. (“SATS”)
was completed, wherein GTRH acquired 80% equity stake in SATS Ground Services Singapore Pte. Ltd in exchange for an 11.4%
equity stake in GTRH. In addition to this, the transaction for the Company to sell and transfer 38.6% of its shareholding in GTRH
to SATS for a consideration of SGD119,300,000 has been completed on 14 February 2018.
(ii) On 28 February 2018, the Company entered into sale and purchase agreements to divest its aircraft leasing operations that
are currently undertaken by Asia Aviation Capital Limited (“AACL”), a wholly-owned subsidiary of the Company, to entities
managed by BBAM Limited Partnership for a disposal consideration of USD1,185.0 million (approximately RM4,619.7 million).
(iii) Internal reorganisation
On 15 March 2018, the High Court has approved the internal reorganisation by way of a Members’ Scheme of Arrangement
under Section 366 of the Companies Act, 2016 for the following proposals;
(a) the exchange of 3,341,974,080 ordinary shares in the Company (including treasury shares), representing the entire issued
share capital of AAB, with 3,341,974,080 new ordinary shares in AirAsia Group Berhad (“AAGB”), a newly incorporated
investment holding company, on the basis of 1 new AAGB Share for every 1 existing AAB Share held on 6 April 2018; and
(b) the assumption of the listing status of AAB by AAGB and the admission of AAGB to and withdrawal of AAB from the Official
List of Bursa Malaysia Securities Berhad, with the listing of and quotation for AAGB Shares on the Main Market of Bursa
Securities.
Accordingly, the internal reorganisation has been completed on 16 April 2018.
NOTES TO THE
FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2017
[ ]
AirAsia Berhad
REPORTS AND FINANCIAL STATEMENTS
368