ISLAMABAD: The federal government on Tuesday approved four parties as potential bidders for a stake in Pakistan International Airlines (PIA), moving forward with plans to privatize the struggling national carrier.
Privatization Minister Muhammad Ali announced that the pre-qualified bidders will now enter the buy-side due diligence phase. This process is expected to last two to two-and-a-half months, with final bidding and negotiations anticipated in the fourth quarter of 2025.
The government aims to sell between 51% and 100% of PIA as part of broader reforms under a $7 billion International Monetary Fund (IMF) program aimed at restructuring loss-making state-owned enterprises. This sale will be Pakistan’s first major privatization effort in nearly two decades.
The approved bidders include a consortium of major industrial firms — Lucky Cement, Hub Power Holdings, Kohat Cement, and Metro Ventures. Another group is led by investment firm Arif Habib Corporation and includes Fatima Fertilizer, The City School, and Lake City Holdings. Fauji Fertilizer Company and private airline Airblue have also been approved to participate in the bidding process.
In addition, the government’s Cabinet Committee on Privatization approved the transaction structure for the Roosevelt Hotel in New York, considering both outright sale and long-term lease options. Pakistan expects to receive more than $100 million from this deal during the current year, according to the privatization ministry.
