Malaysia’s AirAsia Group said earlier today that it has changed the name of its listed holding company to Capital A to reflect the diversity of its business portfolio as it seeks to grow its non-airline revenue.
Capital A CEO, Tony Fernandes, said the COVID-19 pandemic has allowed the group to accelerate plans to grow beyond the airline business to become a “one-stop digital travel and lifestyle services group.”
Fernandes said the announcement is about telling the world that the group has grown much more than an airline, and he expects the non-airline businesses to contribute half of the group’s revenue by 2026.
He further reiterated that the airline wil retain the AirAsia brand name, but the group will focus more on expanding other businesses including logistics, aircraft engineering, venture capital, education, and mobile applications for payments, travel and lifestyle.
Earlier this month, Malaysia’s stock exchange classified the firm as financially distressed, as (AirAsia) has been struggling because the regional borders were closed due to the pandemic.
The CEO further stated that the firm will bounce back as soon as the borders are open, predicting a return to normal capacity for international services by the third quarter of the year.
