Islamabad, July 9, 2025 — In a significant stride toward the privatization of Pakistan International Airlines (PIA), the Privatization Commission (PC) Board has officially prequalified four interested parties for the national carrier’s divestment.
This decision marks a pivotal step in the government’s ongoing efforts to restructure and revitalize state-owned enterprises.
The Privatization Commission Board, during its 237th meeting chaired by Muhammad Ali, Adviser to the Prime Minister on Privatization, evaluated the Statements of Qualification (SOQs) submitted by five prospective investors. After detailed scrutiny by the Prequalification Committee and careful consideration of technical, financial, and documentary requirements, the Board gave the green light to four of them.
The prequalified parties for the PIA transaction include:
1. A consortium comprising Lucky Cement Limited, Hub Power Holdings Limited, Kohat Cement Company Limited, and Metro Ventures (Private) Limited.
2. A second consortium featuring Arif Habib Corporation Limited, Fatima Fertilizer Company Limited, City Schools (Private) Limited, and Lake City Holdings (Private) Limited.
3. Fauji Fertilizer Company Limited.
4. Air Blue (Private) Limited.
With prequalification completed, these parties will now enter the buy-side due diligence phase, where they will conduct comprehensive assessments of PIA’s operations, financials, liabilities, and potential. This step is considered crucial for ensuring transparency and competitiveness throughout the divestment process.
The PC Board’s decision represents a major milestone in the government’s broader economic reform strategy. By moving forward with PIA’s privatization, authorities aim to reduce the financial burden on the public exchequer and attract strategic investors capable of transforming the airline into a commercially viable entity.
In a parallel development, the Board also recommended a transaction structure for another high-profile asset—the Roosevelt Hotel in New York. The Cabinet Committee on Privatisation (CCOP) has approved a joint venture model for the hotel, following evaluation of three proposed options: outright sale, joint venture, and long-term lease.
The selected joint venture structure is designed to ensure optimal value for Pakistan, providing long-term returns, exit flexibility, and minimized fiscal risk.
These strategic decisions by the Privatization Commission Board reaffirm the government’s commitment to transparent, investor-friendly reforms. With the PIA privatization process gaining momentum, stakeholders are hopeful that the national carrier will finally turn a corner toward sustainability and efficiency.