Following the announcement of the privatisation of Pakistan International Airlines (PIA), the company’s share price experienced a dramatic surge; after weeks of institutional reforms, the value of PIA’s shares increased by more than 650%.
The price of a PIA share escalated from 4.50 rupees to 32 rupees within weeks.
Stock market experts suggest that investor confidence has grown following the company’s reformative efforts, leading to an increase in share prices. After reaching a price of 32 rupees per share in the stock market, PIA has become the country’s 70th largest shareholder company.
Read: Pakistan Sets Criteria for PIA Privatization Bidders
Before privatization, PIA was transferred to a holding company, clearing all its debts and financial losses. Authorities have informed the Pakistan Stock Exchange that PIA’s balance sheet has been cleared. Bids for the privatization of Pakistan International Airlines were solicited until May 3.
With recent advancements in the company’s affairs, PIA has become an attractive investment opportunity for major players in the aviation sector. It should be noted that the government intends to privatize only the national airline’s aviation department, selling 51% of its shares while retaining 49% ownership within the Government of Pakistan.
All liabilities, losses, and debts of PIA have been transferred to the holding company, clearing the corporation’s balance sheet, and PIA Corporation Limited will have a debt of 202 billion. PIA Holding Company has transferred a debt of 830 billion rupees from the airline, with banks requiring 167 billion for operations and 35 billion for employee debts.
 sees a dramatic 650% surge in share prices, signaling a robust investor confidence and marking a significant turnaround for the national carrier){kind=link}