Metro53 - Islamabad (Web Desk)The Arif Habib Consortium has acquired a 75 percent stake in Pakistan International Airlines (PIA) for Rs 135 billion, marking a major development in the privatization of the national flag carrier.
Adviser to the Privatization Commission Muhammad Ali stated that the privatization of the national airline is part of the government’s broader reform agenda. He emphasized that the government’s objective is not merely to sell PIA but to revive and stabilize the airline, adding that privatization will help attract foreign and local investment into the country.
According to the Privatization Commission adviser, the government wants PIA to improve and regain its past standing. He said that bidding for 75 percent of PIA shares was held, and 92.5 percent of the amount raised through the bidding process will be spent on improving the national airline.
He further explained that two-thirds of the payment will be made upfront, while the remaining one-third will be paid at a later stage. Bidders were also allowed to include two additional parties with them after the bidding process.
In the first phase of bidding, the Lucky Consortium offered Rs 101.5 billion, while Airblue submitted a bid of Rs 26.5 billion. The Arif Habib Consortium submitted the highest bid of Rs 115 billion in the initial phase.
During the second phase, the Lucky Consortium increased its bid to Rs 120.25 billion, while the Arif Habib Consortium raised its bid to Rs 121 billion, ultimately leading to the acquisition of 75 percent shares of PIA for Rs 135 billion.
