Malaysian low-cost airline group AirAsia has raised 505 million ringgit ($145 million) through the issuance of new shares.

Three-hundred and eighty million new shares in AirAsia were sold for 1.33 ringgit per piece which comes to 505 million ringgit, AirAsia says to the Malaysian stock exchange.

"The private placement was oversubscribed with strong demand from foreign institutional investors."

It adds, "the final allocation and size of the private placement was aimed to achieve a post placement foreign ownership level of 45%." In September the group's foreign ownership level was 46%, it says.

AirAsia CEO, Tony Fernandes, confirmed to ATI in August that the private placement was to reduce debt.

The airline has over 100 Airbus A320s on firm order and is working to get financing for some of these.

Source: Air Transport Intelligence news