Pakistan International Airlines (PIA) is set to be transferred to a new owner by the end of June 2025, as the privatisation process reaches its concluding phase. According to sources within the Privatisation Commission, all necessary domestic and international approvals for the transaction have been secured, and the share purchase and subscription agreement has been formally signed with the winning bidder.
Rs85 Billion Payment and Share Transfer
A payment of approximately Rs85 billion is anticipated at the first closing of the deal. Following this payment, the transfer of shares and administrative control of the national carrier will be officially handed over to the buyer. Officials have confirmed that efforts are being expedited to finalise the entire process by the end of June.
Regulatory Approvals Completed
All no-objection certificates (NOCs) and other mandatory permissions have been obtained from relevant authorities, both within Pakistan and internationally. This includes clearance from regulatory bodies and compliance with legal requirements necessary for the sale.
The Privatisation Commission has been actively working on the divestment of PIA as part of the government's broader economic reform agenda. The sale is expected to reduce the financial burden on the national exchequer and improve the airline's operational efficiency under private management.
Impact on PIA Operations
The new buyer is expected to inject capital and implement restructuring measures to revive the loss-making airline. PIA has been struggling with mounting debts and operational challenges for years. The privatisation is seen as a critical step towards turning around the airline's fortunes.
Sources indicated that the transaction would be completed in a transparent manner, with all legal formalities adhered to. The Privatisation Commission has not disclosed the identity of the successful bidder yet, but it is believed to be a consortium with experience in aviation management.
