JAKARTA (Yosefardi) – PT Indonesia Air Asia plans to issue convertible bond worth US$150 million, part of its parent company’s bond issue program of US$300 million, Investor Daily reported this morning.

The bond issue is scheduled for this year.

Air Asia group chief executive Tan Sri Tony Fernandes said in a letter to investors that AirAsia is looking to take the loss-making associates in Philippines and Indonesia public in 2017, seeking valuations of about US$700 million for the Indonesia firm and US$600 million for the Philippines business.

“We target to float 20% of the shares raising a minimum of $150 million (in each),” he said.