Nok Air given three years to fix debt issues before delisting

The Stock Exchange of Thailand (SET) said on Thursday it will grant Nok Airlines Plc (NOK), a low-cost carrier undergoing business restructuring, another three years to resolve its negative financial position before delisting the airline.

Following the publication of Nok Airlines’ 2020 operational results, which showed losses of over 7 billion baht, the SET will put a Non-Compliance sign indicating that the firm is subject to possible delisting due to negative equity, starting from Thursday.

The trading suspension of Nok’s shares remains in force unless “the company has proceeded to eliminate the grounds for delisting,” according to the statement. NOK has been banned from trading since July.

The SET also demanded that the airline submit a timeframe for the rehabilitation process or any other related plans to the public by October 8.

Investors and shareholders should “carefully study NOK’s financial statements, including NOK’s announcement of further actions,” the SET warned.

Meanwhile, the Central Bankruptcy Court will hold a hearing on NOK’s rehabilitation plan on September 15, after it was postponed the last time due to disagreements between the plan’s creators and creditors.

Wutthiphum Jurangkool, the airline’s chief executive, said earlier that NOK aims to inject 5 billion baht in liquidity through a five-year rehabilitation plan and upgrade its service to the premium category.

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