Published: Wednesday August 29, 2012 MYT 4:40:00 PM
AirAsia gets Indonesia's approval for Batavia Air purchase
A Dow Jones Newsire report from Jakarta had on Wednesday quoted Indonesia's air transportation director general, Herry Bhakti, that it was approved in principle.
The new wire had also quoted Fersindo president director Dharmadi that his company would complete due diligence in September and the acquisition by March 2013
To recap, in late July, AirAsia Bhd said its unit AirAsia Investment Ltd and its partner, Fersindo, would acquire PT Metro Batavia, the company which operates the Indonesian Batavia Air and Aero Flyer Institute, an aviation training school.
The acquisition, which is subject to regulatory approvals in Indonesia and was expected to complete by the second quarter of 2013, would see AirAsia holding a 49% stake in Metro Batavia and Fersindo holding the 51% majority stakes. AirAsia had then said it would fund the acquisition with US$80mil (RM253mil) in cash.