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Aftab Maken
ISLAMABAD: The privatization process for Pakistan International Airlines (PIA) is set to reach its climax tomorrow (December 23, 2025), with sealed bids to be submitted and opened in a live broadcast for transparency. The bidding will cover a 75% stake in the flag carrier, marking a crucial step toward revitalizing the financially troubled airline.
According to Privatisation Commission officials, pre-qualified bidders will submit sealed bids between 10:45 am and 11:15 am, with the opening scheduled for 3:30 pm in the presence of media. The process follows the withdrawal of Fauji Fertilizer Company Limited, leaving three contenders in the race.
The remaining bidders are:
- A consortium led by Lucky Cement, including Hub Power Holdings Limited, Kohat Cement Company Limited, and Metro Ventures (Private) Limited.
- A consortium headed by Arif Habib Corporation Limited, comprising Fatima Fertilizer Company Limited, City Schools (Private) Limited, and Lake City Holdings (Private) Limited.
- Air Blue (Private) Limited.
The successful bidder will gain management control and have a 90-day option to acquire the remaining 25% stake. Additionally, the new investor will be required to inject Rs80 billion into PIA over the next five years for fleet expansion and operational improvements.
Of the proceeds from the 75% stake sale, 92.5% will be reinvested directly into PIA for stabilization and growth, while only 7.5% will go to the federal government. The Privatisation Commission Board will first approve the reserve price, followed by final endorsement from the Cabinet Committee on Privatisation (CCoP).
If bids exceed the reserve price, an open auction may follow. In case of lower bids, the highest bidder will get the first opportunity to match the reserve price.
Existing PIA employees are assured one year of job security post-privatization, with pensions and retirement benefits handled by a new holding company.
This privatization effort is viewed as a pivotal move to restore PIA’s financial health, enhance efficiency, and reclaim its former glory as a leading airline. Nationwide attention is focused on tomorrow’s bidding outcome.
