PIF plans $100M investment in AirAsia fundraising

Saudi Arabia's Public Investment Fund (PIF) is preparing to invest approximately $100 million in Malaysia's AirAsia, which is part of a larger fundraising effort targeting about $226 million. This investment would make PIF the largest contributor, as AirAsia seeks to recover from pandemic-related losses and aims to offer up to a 15% stake at a valuation of $2 billion. The airline is also in discussions with potential investors from Singapore and Japan and is nearing approval for restructuring its ownership, consolidating operations under the AirAsia X brand. A significant aspect of AirAsia's appeal is its backlog of over 350 narrowbody aircraft from Airbus, which aligns with the operational strategy of Saudi startup airline Riyadh Air, owned by PIF. While an official announcement is expected soon, sources indicate that the deal is not guaranteed. Both PIF and AirAsia representatives have declined to comment on the negotiations.