Pakistan International Airlines (PIA), the country’s national carrier that has long been struggling financially, was sold for 135 billion Pakistani rupees (approximately USD 482.3 million) following a public auction.
The sale price exceeded the starting price of 100 billion rupees (around USD 357 million) set by the Pakistani government, with three different investor consortia competing fiercely. The auction was won by the private consortium Arif Habib, which submitted the highest bid.
Under the agreement, 75 per cent of PIA’s shares were transferred to the Arif Habib consortium. It was reported that 92.5 per cent of the proceeds from the sale will be used to restructure the airline and strengthen its operational capacity.
Pakistan’s Prime Minister Shehbaz Sharif had stated prior to the auction that, if successfully completed, the sale would represent the largest privatisation transaction in the history of the Islamic Republic.
