PIA share transfer set for May 25 as privatization nears completion
PIA's share transfer is set for May 25, 2026, as the Arif Habib-led consortium moves to acquire the remaining 25% stake. Here's what the deal involves
Haris Zamir
Business Editor
Experience of almost 33 years where started the journey of financial journalism from Business Recorder in 1992. From 2006 onwards attached with Television Media worked at Sun Tv, Dawn Tv, Geo Tv and Dunya Tv. During the period also worked as a stringer for Bloomberg for seven years and Dow Jones for five years. Also wrote articles for several highly acclaimed periodicals like the Newsline, Pakistan Gulf Economist and Money Matters (The News publications)
Shares in Pakistan International Airlines Corporation Limited will be transferred on May 25, 2026, according to a Pakistan Stock Exchange filing, marking a critical step toward full private-sector ownership of the national carrier.
The Arif Habib Corporation-led consortium has notified the Privatization Commission of its intent to acquire the remaining 25% equity stake in PIACL.
Is PIA going to be privatized, and when does it happen?
PIA's privatization is in its final stage, with management control expected to transfer on or before May 25, 2026.
A consortium led by Arif Habib Corporation has already acquired a 75% controlling stake and has now moved to acquire the remaining 25%.
The May 25 date is the First Closing Date set by the Privatization Commission, subject to conditions precedent under the Share Purchase and Subscription Agreement.
How many rupees is the PIA sale, and where does the money go?
Total investment in the PIA transaction is expected to reach approximately PKR 180 billion. Of this, at least PKR 55 billion will be payable to the government as divestment proceeds, while PKR 125 billion in fresh equity will be injected directly into PIACL.
The capital injection is intended to fund fleet expansion, route development, and improvements to customer service and operational systems.
Who are the major shareholders of PIA after the sale?
The acquiring consortium includes Arif Habib Corporation Limited, Fatima Fertilizer Company Limited, Lake City Holdings (Pvt) Ltd., The City School (Pvt) Ltd., AKD Group Holdings (Pvt) Ltd., and Fauji Fertilizer Company Limited.
The consortium has established a special purpose vehicle, PIA Equity Limited, to facilitate full ownership.
The government of Pakistan will retain a 25% minority stake until the call option for that remaining share is exercised.
What are the conditions for completing the PIA share transfer?
The share transfer is subject to conditions precedent outlined in the Share Purchase and Subscription Agreement signed on January 29, 2026.
The consortium has backed its notice of intent with a standby letter of credit. "All stakeholders are working jointly to fulfil the conditions precedent ahead of the First Closing," the company said in its PSX filing.
What legal disclosures has PIA made about the privatization?
The filing continues a series of disclosures that began with notices on December 24, 2025, and January 2, 2026.
It was submitted in line with Section 96 of the Securities Act, 2015, and Clause 5.6.1(a) of PSX regulations.
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