Pakistan's privatization drive is picking up pace as the Privatization Commission Board pre-qualified four investors for the privatization of Pakistan International Airlines (PIA), marking a major milestone in the government's economic reform agenda.
In another key decision, the Cabinet Committee on Privatization approved the transaction structure for New York's iconic Roosevelt Hotel, setting the stage for strategic partnerships abroad.
According to an official press release, the decisions came during the 237th meeting of the Privatization Commission Board, chaired by Muhammad Ali, Advisor to the Prime Minister on Privatization and Chairman of the Commission. After a thorough evaluation of five potential investors, four interested parties have been pre-qualified based on technical, financial, and documentary compliance.
The pre-qualified bidders for PIA privatization include:
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A consortium of Lucky Cement Limited, Hub Power Holdings Limited, Kohat Cement Company Limited, and Metro Ventures (Private) Limited.
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A consortium comprising Arif Habib Corporation Limited, Fatima Fertilizer Company Limited, The City Schools (Private) Limited, and Lake City Holdings (Private) Limited.
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Fauji Fertilizer Company Limited.
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Airblue (Private) Limited.
These parties will now move forward to the critical buy-side due diligence stage, marking the next major phase in the PIA privatization process. This phase will help ensure transparency and competitiveness in the national carrier’s privatization.
In a parallel development, the Cabinet Committee on Privatization approved the recommended transaction structure for the Roosevelt Hotel in New York. After evaluating three options—outright sale, a joint venture with multiple exit options, and long-term leasing—the government opted for a joint venture model with flexible options, aiming to maximize long-term value for Pakistan while minimizing financial risk.
The Roosevelt Hotel decision reflects the government’s strategic intent to retain flexibility and secure multiple exit opportunities in the future, enhancing Pakistan’s financial exposure management.
