Media playback is unsupported on your device

AirAsia X eyes further expansion

10 July 2013 Last updated at 01:40 BST

AirAsia X, the long haul subsidiary of budget carrier AirAsia, will makes its trading debut later in the Malaysian capital, Kuala Lumpur on Wednesday.

The long haul budget carrier raised hundreds of millions of dollars via a share sale.

The Malaysian airline will use the funds to expand its fleet of jets, to better serve markets in east Asia and Australia.

But the carrier faces major challenges as Jennifer Pak reports.