Posted on: 02 December 2015 by Mark Howells
tAirAsia Bhd has acquired a 73% equity interest in Tune Box Sdn Bhd for approximately US$206 million.
tIt has purchased 780,000 ordinary shares of USD0.24 and 96,000 ordinary shares of USD0.24 each in the share capital of Tune Box from Caterham Technology and Innovation Ltd and Clarence Lim Kee Kiat, respectively.ttIn a filing to the Malaysian stock exchange, Bursa Malaysia, AirAsia said the acquisition would allow it to “expand its business into the design, sale, supply and provision of in-flight entertainment and connectivity infrastructure solutions (wireless IFEC solution) via Tune Box group.tt“With the acquisition, AirAsia will be able to diversify its income based on Tune Box’s sale of the wireless IFEC solution to the AirAsia fleet. Further, Tune Box is expected to contribute additional revenue derived from sales to other airlines.”ttAccording to the filing “AirAsia being a launch customer for Tune Box’s wireless IFEC Solution will provide firm validation on Tune Box’s products. The acquisition grants AirAsia a subsidiary company that is innovative and well positioned to expand its products and services across other airlines, to garner market share and achieve its target sales by 2020.”ttTune Box specialises in digital software development focused on IFEC, offering a host of products and services under the roKKi brand including roKKi chats, an in-flight Wi-Fi connectivity service that offers passengers access to instant messaging applications while flying, and LiFE, the preloaded IFE tablets that have been flying on AirAsia X aircraft since 2012.t