Pakistan International Airlines sale bid sees entry of global aviation firms
Pakistan has initiated the process of selling a majority stake in
its flagship carrier, with bids solicited from various entities worldwide.
The consortium spearheaded by Pak Ethanol Pvt. vying for a
majority stake in Pakistan International Airlines (PIA) comprises several
prominent global aviation firms. Among them are Switzerland’s Swiss Aviation
Group AG, Austria’s Airport Competence GmbH, Australia’s Pearl Asset
Management, alongside Pakistan’s Serene Air and Air Sial Ltd., as revealed in a
statement released on Saturday.
Read More Privatization
of PIA approved by Prime Minister
The decision to offload a majority stake in PIA comes as the
airline has struggled to turn a profit for nearly two decades. This divestment
aligns with the government's commitment to implementing economic reforms, as
mandated by agreements with the International Monetary Fund, to secure a
bailout. Additionally, Pakistan intends to pursue a new loan from the IMF by
July.
Prime Minister Shehbaz Sharif, who assumed office in March, has
emphasized the unsustainability of continued government bailouts for the
financially troubled airline.
Read More PIA
restructuring plan for privatization gaining momentum
Pak Ethanol expressed confidence in the consortium's ability to
revitalize PIA, leveraging a blend of domestic and international expertise.
Their goal is to reinstate PIA to its former prestige, ensuring it remains a
source of national pride and a formidable player in the global aviation
industry.
Pakistan’s Privatisation Commission has disclosed receiving eight
expressions of interest for the stake sale, with the consortium led by Pak
Ethanol being one of them.
Source: Gulf News