PIA Privatization: New Ownership Officially Takes Control of National Carrier
PIA transitions to private ownership under PIA Equity Ltd as new investors pledge modernisation, investment and renewed global competitiveness.
Pakistan International Airlines begins a new chapter under private ownership.
PIA Privatization entered a new phase on Monday as Pakistan International Airlines (PIA) officially moved under new management following the completion of its transition to PIA Equity Ltd, a special purpose vehicle of the Arif Habib Consortium.
The transfer marks a major development in Pakistan’s aviation sector and concludes a privatisation process designed to modernise the national carrier and strengthen its position in regional and international markets.
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According to the announcement, all required local and international regulatory approvals were completed before the transfer of management and ownership. The transition also included approvals from international lenders and the implementation of relevant tax arrangements.
PIA Equity Ltd, led by Arif Habib Corporation and supported by a consortium including Fatima Fertilizer Company Ltd, Fauji Fertilizer Company Ltd, Lake City Holdings (Pvt) Ltd, The City School (Pvt) Ltd and AKD Group Holdings, has assumed full private ownership of the airline through a transaction valued at approximately Rs180 billion.
Under the deal structure, Rs55 billion will go to the Government of Pakistan as direct divestment proceeds, while Rs125 billion will be invested into the airline as fresh equity to support operational restructuring, fleet renewal, route expansion and service enhancement initiatives.
Speaking after the transition, the chairman of the new ownership said the airline remained committed to serving the people of Pakistan and acknowledged that public trust would need to be earned through performance and improved passenger experience.
He said the airline would preserve its legacy while working to establish a modern aviation model capable of meeting international standards.
With legacy liabilities addressed and operating rights transferred, the new management stated that it is fully prepared to improve service quality, strengthen operations and position PIA as a more competitive international airline.
