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Arif Habib–Led Consortium Wins 75% of PIA in Rs135 Billion Sale

Most of the funds will be injected into the airline as new capital under a debt-cleanup structure.

Overview

  • The government will receive about Rs10.1 billion upfront, with roughly Rs124.9 billion earmarked to recapitalise PIA in two stages.
  • Final regulatory and cabinet approvals and contract signing are pending, with the privatisation adviser saying new management is expected by April 2026.
  • The state will retain a 25% stake valued around Rs45 billion, and the buyer has an option to acquire the remainder within a defined window.
  • Legacy debts and pension liabilities were shifted to a state holding company, and PIA’s real estate was excluded from the transaction.
  • Employee jobs are protected for 12 months, and the winning consortium includes Fatima Fertiliser, City Schools and Lake City Holdings, with scope to add partners.