The privatisation process of Pakistan International Airlines (PIA) has entered its final stage, with the national carrier expected to be formally handed over to its new buyer by the end of this month.
According to sources, all major regulatory, legal, and administrative requirements have been completed, paving the way for the final transfer of ownership and management control.
Sources said the process of obtaining both domestic and international approvals required for completing the privatisation agreement has been finalized.
In addition, all no-objection certificates (NOCs) and other mandatory permissions have been secured, removing the remaining hurdles in the transaction.
Officials say these developments have brought the privatisation process to its concluding stage.
Agreement signed with successful bidder
According to sources, a Share Purchase Agreement (SPA) and Subscription Agreement have already been signed with the successful bidder. The agreements outline the terms under which the buyer will acquire shares and assume ownership responsibilities.
Under the agreement, the successful bidder is required to deposit the remaining payment during the first closing phase of the transaction.
Rs85bn expected at first closing
The Privatisation Commission officials said approximately Rs85 billion is expected to be paid at the time of the first closing. The payment will mark a major milestone in the privatisation process and trigger the formal implementation of the agreement.
Officials added that the transfer of shares and administrative control of the airline will take place simultaneously with the first closing.
Once the first closing is completed, the administrative control of PIA will officially be handed over to the new buyer.
According to privatisation Commission officials, efforts are being accelerated to complete the first closing process by the end of June. The transfer will effectively mark the final stage of the airline’s long-awaited privatisation process.
Focus on completing June deadline
Officials said all necessary steps are being taken to ensure the transaction is completed within the targeted timeframe.
With approvals secured, agreements signed, and payment arrangements in place, the government is aiming to conclude the first closing before the end of the month.
If completed as planned, PIA’s management and operational control will shift to the successful bidder, ushering in a new chapter for Pakistan’s national airline.
