AirAsia Philippines defers IPO to 2019

Budget carrier AirAsia Philippines has deferred its $250-million initial public offering (IPO) this year to 2019 amid risks in the aviation sector.

“We’re still working on it but I think it might get delayed [to] next year,” AirAsia Philippines chief executive officer Dexter Comendador told reporters on the sidelines of the Asia Institute of Management Aviation Forum in Makati City on Friday.

AirAsia Group CEO Tony Fernandes earlier said he was hoping that the IPO will happen this year on the Philippine Stock Exchange. 

But Comendador noted “there are too many problems at the moment” related to the aviation business.

“Especially the fuel prices, the foreign exchange rate, plus the Boracay closure. So probably we have to move it next year,” he said.

AirAsia Inc. started operating in the Philippines in 2012 and merged with Zest Airways Inc. in October 2015, with Philippines AirAsia Inc. emerging from the merger. —VDS, GMA News