Karachi: Pakistan International Airlines Corporation Limited (PIACL) is set for a significant change in ownership following a competitive bidding process conducted by the Government of Pakistan. On December 23, 2025, the Privatisation Commission led a televised auction for the divestment of 75 percent of PIACL’s issued share capital, a major subsidiary of PIA Holding Company Limited (PIAHCL).
The process adhered to the established privatization framework, and three pre-qualified bidders participated: a consortium led by Arif Habib Corporation Limited, another led by Lucky Cement Limited, and Airblue (Private) Limited. The consortium led by Arif Habib Corporation Limited emerged as the successful bidder with a bid of PKR 135 billion for the controlling stake.
According to information available from the Pakistan Stock Exchange (PSX), the transaction’s terms specify that 7.5% of the bid amount, equating to PKR 10.125 billion, will be directed to the Government of Pakistan through PIAHCL. The remaining 92.5%, or PKR 124.875 billion, will be invested in PIACL as new equity through a ‘Rights Issue.’ This investment will occur in two tranches: an upfront payment of PKR 83.25 billion and a second tranche of PKR 41.625 billion, to be completed within 12 months of the financial close.
The completion of this privatization is contingent on the execution of definitive agreements, meeting conditions precedent, and obtaining necessary regulatory, governmental, and corporate approvals. PIAHCL will evaluate and communicate any impacts on the company’s ownership, governance, management, financial position, and consolidation status during the transaction’s completion process.
Further developments, including the execution of transaction documents and completion of the shares transfer process, will be disclosed to the exchange as they occur. This announcement is disseminated through PUCARS for the awareness of all stakeholders.