ISLAMABAD, Tuesday, July 8, 2025 (WNP): The Privatization Commission Board and the Cabinet Committee on Privatization (CCOP) on Tuesday took two landmark decisions for accelerating strategic divestments and optimizing state-owned assets in a significant step forward in Pakistan’s privatization drive.
The Privatization Commission (PC) Board, in its 237th meeting chaired by Muhammad Ali, Adviser to the Prime Minister on Privatization and Chairman of the Commission, approved the prequalification of four interested parties for the divestment of Pakistan International Airlines Corporation Limited (PIACL).
The decision followed a detailed review of recommendations by the Prequalification Committee, which assessed Statements of Qualification (SOQs) submitted by five prospective bidders based on strict technical, financial, and documentary criteria outlined in the Request for Statement of Qualification (RSOQ).
The four prequalified parties include:
- A consortium comprising Lucky Cement Limited, Hub Power Holdings Limited, Kohat Cement Company Limited, and Metro Ventures (Private) Limited
- A consortium comprising Arif Habib Corporation Limited, Fatima Fertilizer Company Limited, City Schools (Private) Limited, and Lake City Holdings (Private) Limited
- Fauji Fertilizer Company Limited
- Air Blue (Private) Limited
These prequalified entities will now advance to the buy-side due diligence phase—a critical step toward ensuring a transparent and competitive process for PIA’s privatization. In a parallel development, the Cabinet Committee on Privatization approved the transaction structure for the Roosevelt Hotel in New York, based on recommendations submitted by the Privatization Commission Board.
Among the three options considered by the financial advisor—(i) outright sale, (ii) joint venture with multiple options, and (iii) long-term lease—the joint venture model with multiple options was selected. The model is designed to maximize long-term value for Pakistan, offering flexibility, multiple exit routes, and reduced fiscal liabilities in the future.
These key decisions mark a major milestone in the government’s ongoing economic reform agenda and reflect its commitment to a transparent, market-driven, and investor-friendly privatization process.
