KUALA LUMPUR: AirAsia X Bhd (AAX)'s share price opened 2.4 per cent higher today on news that it submitted an application to Bursa Malaysia Securities Bhd yesterday to lift its Practice Note 17 (PN17) status.
Its share price opened at RM1.71, with some 731,000 shares changing hands at 9.01am.
The company said yesterday that the application to exits the PN17 classification, without submitting and implementing a regularisation plan, was made after considering the recent improvement in its financial performance and its subsidiaries.
The carrier slipped into PN17 status, which identifies it as a financially distressed company, on October 17, 2021 due to pandemic-led losses.
The company registered a net profit of RM328 million for the first quarter ended March 31, 2023, on revenue of RM548.8 million.
The company's shareholders' equity also had positive turnaround to RM40.8 million, from a negative shareholders' equity of RM285.2 million in the preceding quarter.
In a filing with Bursa Malaysia, AAX said it submitted an application to Bursa Malaysia Securities on July 20, 2023 for relief from having to submit and implement a regularisation plan as required by the lisiting requirements of Bursa Securities and, an upliftment of AAX's classification as a Practice Note 17 company.
It added that pending the decision on those two application, the company had also applied to Bursa Securities for a further three months extension from July 29, 2023 to October 28, 2023 for the company to submit a regularisation plan to the regulatory authorities, should their applicationto exit PN17 not be granted.