Cabinet Committee on Privatization Approves Reference Price for Sale of PIA

Update: “The opening of bids for the privatization of PIA has been revised. The event will now commence at 4:30 PM. Please stay connected for further updates,” the Privatization Ministry informed on X. ………………………………………………………………………………………… The Cabinet Committee on Privatization has reviewed and approved the reference price for the sale of a 75 percent stake in Pakistan International Airlines (PIA). Approval of the reference price is a prerequisite for opening the sealed bids. This will be followed by a formal endorsement from the federal cabinet. Earlier in the day, three groups submitted sealed bids to acquire management control of the national flag carrier. The Lucky Cement-led consortium submitted its bid first, followed by the Air Blue–Arif Habib Limited group. The matter was referred to the Privatisation Commission Board and CCoP for consideration of the minimum expected price for the divestment of Pakistan International Airlines Corporation Limited (PIACL). The second phase involves the opening of sealed bids later in the day in a process to be broadcast live. The bids will be opened later at 3:30 pm in the presence of the bidders Under the transaction structure, a 75 percent stake in PIACL is being offered. Of the total proceeds, 92.5 percent will be injected into the airline, while 7.5 percent will go to the government. The government will retain a 25 percent shareholding, with the successful bidder granted an option to acquire this remaining stake at a later stage. According to the Privatisation Commission, the airline’s current fleet of 18 aircraft is projected to double within three to four years under the approved business plan.