KUALA LUMPUR, July 8 ― AirAsia Group Berhad (AAGB) said today it has triggered the prescribed criteria of the Practice Note 17 (PN17) of the Main Market Listing Requirements of Bursa Malaysia after its external auditor issued yesterday an unqualified opinion on its ability to continue and its related material uncertainty.
However the low-cost carrier group said it will not be classified as such under the PN17 relief measures, citing a Bursa’s letter dated April 16 which granted affected listed issuers relief from complying with the obligations due to PN17 relief measures from April 17 to June 30, 2021.
“For the avoidance of doubt, AAGB will not be classified as a PN17 listed issuer and will not be required to comply with the obligations pursuant to Paragraph 8.04 and PN17 of the Main LR for a period of 12 months from the date of this announcement.
“AAGB will re-assess its condition and announce whether it continues to trigger any of the criteria in PN17 of the Main LR upon the expiry of the 12 months from the date of this announcement,” it said in a statement to Bursa Malaysia.
The external auditor, Ernst & Young PLT (E&Y), said in a statement yesterday that the group has a net loss of RM283 million for the financial year which ended on December 31, 2019 and its current liabilities exceeded its current assets by RM1.84 billion.
“AAGB's external auditors E&Y have issued an unqualified audit opinion with emphasis of matter on material uncertainty relating to going concern (“MUGC”) in respect of AAGB's audited financial statements for the financial year ended 31 December, 2019 and AAGB's shareholders’ equity on a consolidated basis is 50% or less of its share capital (excluding treasury shares).
“AAGB's shareholders’ equity on a consolidated basis as at March 31 is 37 per cent of its share capital (excluding treasury shares),” it said.
The public trading for AGGB was suspended by Bursa Malaysia earlier today, after its external auditor issued an unqualified opinion on its ability to continue and its related material uncertainty.
In a subsequent announcement later, AAG announced the resumption of trading at 2.30pm today.
