PIA privatisation: fresh bid process approved

The Privatisation Commission is likely to publish a fresh advertisement next week for the divestment of 51 to 100 per cent shares of Pakistan International Airlines Corporation Limited (PIACL).

A meeting of the Privatisation Commission Board was held on Thursday, chaired by Commission chairman Muhammad Ali. During the meeting, the board approved the eligibility criteria for interested bidders.

In its previous session, the board recommended to the Cabinet Committee on Privatization (CCOP) a transaction structure for the second attempt to privatize PIACL.

The structure is based on the sale of 51% to 100% PIACL's share capital, along with management control.

The final terms and conditions for the transfer and acquisition of equity stake shall be finalised during the bidding process and included in the bid documents for CCOP's approval.

Earlier this month, the country's defence minister announced that the national flag carrier had posted an annual profit for the first time in over two decades, ahead of the government's renewed efforts to privatise the airline.

The disclosure was made at a PIA board meeting, the minister said. "PIACL Board today has approved its accounts FY 2024, and after 21 years, it has achieved an operating profit of Rs9.3 billion ($33.14 million) & Net Profit of Rs26.2 billion (after deferred tax adjustment)," Defence and Aviation Minister Khawaja Muhammad Asif said in a post on X, which was confirmed by the airline in a statement. (With input from Reuters)