I think it is a very clever move. CX always boast that they can kill any lo-cost entries by beating them on price, on the basis that the front end revenue is what pays. If HKA can knock a hole in CXs premium market share, then that would be a master stroke.
BTW with all of the dilution on the 8th Floor and the 'we invented aviation' attitude at CX, I think it is unwise to crow about the likelihood of HKA leaving a smoking hole in the ground.