Southeast Asia's largest low-cost carrier AirAsia said it would take a 20 percent stake in long-haul carrier AirAsia X for RM26.7 million in cash.

The announcement came just weeks after Richard Branson's Virgin Group took a 20 percent stake in the airline. The British billionaire has vowed to ensure that the project turns a profit.

AirAsia said its 20 percent stake would be "paid wholly in cash and is entirely funded from internal sources."

AirAsia said in a statement to the Malaysian stock exchange that it would maintain an option to acquire an additonal 10 percent stake in the new long-haul airline.

AirAsia X chief executive officer Azran Osman-Rani told AFP that the airline now expects to launch its inaugural flights to China and Australia's Gold Coast by year-end. Flights were to have begun in September.

Azran also said the airline would receive its first Airbus A330-300 lease aircraft next week. It has 15 widebody A330-300 airliners on order from the European manufacturer.