AirAsia X stated it is currently in talks with Middle Eastern investors, including institutional investors and sovereign wealth funds, for fresh capital to fund its European and African expansion plans (Reuters, 20-Aug-09). According to CEO, Azran Osman-Rani, the carrier requires a “stronger equity base after 2010”. The carrier plans to expand to destinations that are “unexploited, under-served”, including destinations in Spain, Scandinavia and East and North Africa.
AirAsia X in talks with Middle Eastern investors for new capital
You may also be interested in the following articles...
London-Singapore becomes world's longest LCC route as Norwegian enters: Long haul low cost, Part 1
European LCC group Norwegian is to launch service from London Gatwick to Singapore on 28-Sep-2017. London-Singapore will become the longest route in Norwegian’s network – and the longest route by any LCC globally.
London-Singapore is a large market but is currently only served nonstop in both directions by Singapore Airlines (SIA) and British Airways. Norwegian should be able to stimulate new demand and attract passengers who are now flying on competitively priced one stop products.
There will also be opportunities to carry passengers beyond London and Singapore. However, Norwegian will need to rely mainly on end to end traffic.
Africa Fleet Outlook: Illustrates Continuing Under-achievement
African airlines currently have less than 150 aircraft on order compared to an active fleet of approximately 1,600. In the neighbouring region of the Middle East, there is a similar sized fleet but 1,400 orders. Fast expansion from Middle East airlines have made it extremely difficult for African airlines to compete. But this is hardly an excuse for African airlines falling short; over many decades they have demonstrated their capability to do that without any help from outsiders. Given the diverging order books of the two regions the outlook for the African airline sector remains relatively bleak.