PM Shehbaz hails transparency as PIA privatisation concludes with signing of transaction documents
The docuements were signed by the Prime Minister Shehbaz Sharif and a consortium led by Arif Habib Corporation Limited at a ceremony in Islamabad, where several federal ministers were also present.PHOTO: APP
The privatisation process of Pakistan International Airlines concluded on Thursday with the signing of transaction documents between the goverment and the Arif Habib Consortium as Prime Minister Shehbaz Sharif hailed the transparency of the entire endeavour.
The government sold its 75% stakes in PIA last month for Rs10.1 billion cash to the consortium, marking the completion of the first major privatisation transaction in two decades by offloading the white elephant. The consortium of Pakistan's renowned businesspersons placed the highest bid of Rs135b for the 75% shares in the 13th round of open auction. It beat another cash-rich consortium led Muhammad Ali Tabba.
The ceremony to sign the shareholders, the share purchase and subscription agreement was held in Islamabad today with PM Shehbaz and Chief of Defence Forces and Chief of the Army Staff Field Marshal Syed Asim Munir also attending.
براہِ راست:- وزیراعظم محمد شہباز شریف کا پی آئی اے کی نجکاری کی دستخطی تقریب سے خطاب https://t.co/kt7WJTL3r5
Defence Secretary Lieutenant General (retired) Muhammad Ali, Privatisation Commission Secretary Usman Bajwa, PIA Holding Company CEO Asad Rasool, Arif Habib Corporation Limited Chairman Arif Habib, Fatima Fertiliser Director Fazal Ahmed, Lake City CEO Gohar Ejaz and PIACL CEO Amir Hayat signed the documents.
The prime minister congratulated the nation on the completion of the PIA privatisation process.
“I know Arif Habib and his colleagues as they are committed business ambassadors of Pakistan, as they played an important role in the industrial progress in Pakistan,” the premier said.
He urged the new owners to provide smooth and comfortable travel services to passengers with safety.
PM Shebaz said that the entire privatisation process was "transparent" as the bidding box was transparent and the bidders had raised several billions during process.
“PIA was on peak specially in 1960s not only within the country but also provided services to the world capitals ... now I hope PIA will regain its previous legacy,” he added.
In his remarks, Habib said the entire investment was based on 100% equity. He said Rs55b out of the total would go to the government treasury, while the remaining amount would be invested in the development of the company.
He further said the involvement of local entrepreneurs in the privatisation reflected a positive business environment in the country.
Habib added that the people of Pakistan would be the foremost beneficiaries of the transaction, as airline services would be improved and new aircraft would be acquired.