Nok Air’s future in turbulence: Delisting deadline looms
Nok Air (Bangkok Don Mueang) is in the hot seat once more, facing the threat of being delisted by the Stock Exchange of Thailand (SET). The clock is ticking as the airline has been given until September 8 to resolve its financial mess and get back to trading on the bourse.
The SET, in a July 31 announcement, laid down the law, demanding that Nok Air address its delisting grounds promptly. Trading in the low-cost carrier’s shares was halted in 2022 after multiple warnings to submit audited financial statements were ignored.
This wasn’t the first time Nok Air found itself in trouble. A brief suspension in 2021 for similar reasons set a precedent. Since the 2022 suspension, the airline has remained off the trading floor, with repeated SET warnings to get its financial house in order or face delisting.
“If the process cannot be completed within the specified time, the Stock Exchange of Thailand Board of Directors will consider delisting the common shares of the company from the list of listed securities.”
Adding to Nok Air’s woes is its ongoing restructuring. CEO Wutthiphum Jurangkool admitted last year that the airline might not wrap up the process within the five-year limit, which ends in the latter half of 2026. Despite these challenges, the low-cost carrier recently reported a net profit of 47.66 million baht for the 2023 fiscal year, marking its first profit in nine years.
Nok Air operates flights to 21 airports across Thailand, India, and China with a fleet of 14 B737-800s. The coming weeks will be critical as the airline races against time to comply with SET requirements and avoid being delisted, a move that could significantly impact its future operations, reported ch-aviation.
In related news, Thai airline Nok Air’s plans to introduce Boeing 737 Max 8 jets are facing unexpected headwinds. Safety anxieties soar amid recent incidents within the 737 Max family, casting shadows over Nok Air’s ambitious fleet expansion.
