Pakistan Renews PIA Sale, Seeks EOIs for Majority Stake

Pakistan’s Privatisation Commission has officially relaunched efforts to privatise Pakistan International Airlines, inviting expressions of interest (EOIs) for acquiring a stake of between 51% and 100% in the national carrier. The call for EOIs was issued on April 24, 2025, by the commission, which operates under the Ministry of Finance. This marks the second attempt in less than a year to sell the struggling airline.

Interested parties, including companies, firms, and other legal entities, must submit EOIs by 4:00 p.m. local time on June 3, along with a non-refundable processing fee of PKR1.4 million (USD4,975). The government has revised the pre-qualification criteria to exclude speculative bidders and focus on financially and technically capable investors.

A previous privatisation attempt in 2024 collapsed after only one bid was received—PKR10 billion (USD35.5 million) for a 60% stake—far below the government’s PKR85.03 billion (USD302 million) valuation. The bid was ultimately rejected for being too low.

To attract more credible interest this time, the government has taken steps to improve PIA’s financial appeal, including removing PKR45 billion (USD160 million) in liabilities and exempting sales tax on new aircraft acquisitions.

The sale offer includes all of PIA’s core business units: passenger operations, ground handling, cargo, flight training, catering, and engineering. The government expects the new investor to revamp operations, modernise the fleet, and reverse persistent financial losses. Officials aim to finalize the privatisation process by the end of 2025, signaling a pivotal shift in Pakistan’s aviation strategy.

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Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com