Syed Muhammad Qaseem, Dawood Ahmed
News Desk:  Pakistan International Airlines Corporation Ltd (PIACL) was sold for Rs135 billion on Tuesday after a competitive and transparent auction in Islamabad, marking the country’s first major privatisation in nearly two decades.
Three pre-qualified bidders, Lucky Cement, Airblue, and the Arif Habib consortium, submitted sealed offers earlier in the day. Airblue exited in the initial round after offering a bid below the government’s reference price of Rs100 billion. In the first round, Lucky Cement bid Rs101.5 billion, while the Arif Habib group led with an offer of Rs115 billion.
Following a short consultation break, a second round of open bidding began with Rs115 billion as the base price and a minimum increment of Rs250 million. After a brief contest, Lucky Cement raised its offer to Rs134 billion, but the Arif Habib consortium countered with Rs135 billion, securing the deal as Lucky Cement withdrew.
The bidding process was broadcast live on television and online platforms to ensure transparency. Adviser to the Prime Minister on Privatisation Muhammad Ali said the transaction was structured to sell at least 75 per cent of PIA shares, with the option for the winning bidder to acquire the remaining 25 per cent within 90 days.
Finance Minister Muhammad Aurangzeb praised the process, calling it a positive signal for investor confidence. He said the participation of leading Pakistani business groups showed trust in the country’s economic direction and expressed hope that fresh investment would help end PIA’s losses and modernise operations.
Prime Minister Shehbaz Sharif also welcomed the successful auction, describing it as one of the largest and most transparent privatisation deals in Pakistan’s history.
The sale follows a failed privatisation attempt last year, when bidding collapsed due to a lack of competitive offers. This time, broader participation revived the long-stalled effort to transfer the national carrier to private management.
