Capital A, the parent company of leading low-cost airline AirAsia, plans to list on the Hong Kong Stock Exchange by June next year. The group’s CEO stated that compared to Singapore and the United States, Hong Kong offers a more active market and greater potential for expanding into mainland China.
AirAsia currently operates over 200 aircraft and serves more than 130 destinations worldwide, including over 20 cities in China. The company previously announced Hong Kong as its preferred listing destination outside Malaysia.
The CEO noted that Hong Kong’s strong market liquidity supports both fundraising and regional expansion. He added that Singapore has limited trading volume, and while Nasdaq is a solid market, its distance and limited relevance to the company’s core operations make Hong Kong a more strategic choice.
In recent years, Hong Kong has stepped up efforts to attract emerging market companies from the Middle East and Southeast Asia. Economists believe that if Capital A’s listing succeeds, it could enhance Hong Kong’s global image. However, the high compliance and dual-listing maintenance costs remain a major concern for potential entrants.
