PIA privatisation moved closer to completion after a consortium led by Arif Habib Corporation Limited notified the federal government of its plan to acquire the remaining 25% stake in Pakistan International Airlines.
The Ministry of Privatisation said the notice covers the government’s final shareholding in the airline and, if completed, would transfer full ownership of Pakistan International Airlines to the private sector.
Management control of PIA is expected to shift by May 25, 2026, subject to conditions precedent under the Share Purchase and Subscription Agreement signed on January 29, 2026, according to the ministry.
The notice of intent for the remaining 25% equity stake, described as a call option, was submitted with the required standby letter of credit and will be exercised under the terms of the agreement.
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The transaction is expected to bring total private-sector investment of about PKR 180 billion, including at least PKR 55 billion payable to the Government of Pakistan as divestment proceeds and PKR 125 billion as fresh equity for PIA.
Authorities said the new capital would support fleet modernisation, route expansion, customer service upgrades and operational improvements.
The consortium includes Arif Habib Corporation Limited, Fatima Fertiliser Company Limited, Lake City Holdings (Pvt) Limited, The City School (Pvt) Limited, AKD Group Holdings (Pvt) Limited and Fauji Fertiliser Company Limited.
The Privatisation Commission of Pakistan, the consortium, the Government of Pakistan and PIA are working to complete the conditions before the first closing.