PIA sell-off: Fauji Fertilizer, Air Blue, and 3 consortiums submit Statements of Qualification
As Pakistan government proceeds with a fresh attempt to privatise the Pakistan International Airlines (PIA), Fauji Fertilizer, Air Blue, and 3 consortiums have submitted the Statements of Qualification (SOQs), showing their interest in acquiring a stake in the national carrier.
The development comes as the deadline to submit SoQs for having 51% to 100% share capital of the Pakistan International Airlines Corporation Limited (PIACL) ended on Thursday.
The Privatisation Commission (PC) received Expressions of Interest (EOI) from eight interested parties and five of them submitted SOQs by the deadline.
The five interested parties include:
Consortium comprising Lucky Cement Limited, Hub Power Holdings Limited, Kohat Cement Company Limited and Metro Ventures (Private) Limited Consortium comprising of Arif Habib Corporation Limited, Fatima Fertilizer Company Limited, City Schools (Private) Limited and Lake City Holdings (Private) Limited Fauji Fertilizer Company Limited Air Blue Consortium comprising Augment Securities & Investments (Private) Limited and Serene Air (Private) Limited, Bahria Foundation, Mega C&S Holding, Equitas Capital LLC
'The SOQs submitted by the parties will be evaluated by the Privatisation Commission against the prequalification criteria and the prequalified parties will proceed to the next stage where they will be given access to the virtual data room to undertake buy-side due diligence,' the PC said.
The government restarted the PIA sale process with fresh EOI call in April this year, marking a renewed effort to offload its stake in the national carrier. It first set June 3 as deadline for EOI submission, but later extended it till June 19, with all terms and conditions remaining the same.
It has been seeking to sell a 51-100% stake in the debt-ridden carrier, to raise funds and reform cash-draining state-owned enterprises (SOEs) as envisaged under a $7 billion International Monetary Fund programme (IMF).
The government failed in the first attempt to privatise the PIA last year after receiving a single offer, well below the asking price of more than $300 million.
Blue World City consortium refused to match the minimum expectation of the Privatisation Commission of Rs85.03 billion and stuck to its original offer of Rs10 billion for a 60% stake in the PIA, ending the bidding process of the national flag carrier's privatisation.
With its plan to privatise a number of entities, the government has missed a modest target of collecting Rs30 billion through privatisation proceeds in the outgoing financial year 2024-25.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Express Tribune
3 hours ago
- Express Tribune
Punjab unveils Rs50b shrimp farming expansion plan
The Punjab government has launched an expansive Rs50 billion plan to scale up shrimp farming across the province, aiming to transform the sector into a major contributor to the local economy and export earnings. Key components of the initiative include the development of a model fish market in Lahore and three state-of-the-art shrimp value chain estates in South Punjab's Muzaffargarh district. According to the Department of Fisheries, a 3,000-acre shrimp farming site will be established in Rakh Ali Wala, Muzaffargarh, with an initial investment of Rs10 billion. Additionally, value chain estates in Head Muhammad Wala, Rakh Ali Wala, and Shahgarh will be developed at a combined cost of Rs40 billion. The Punjab government has earmarked Rs3 billion in the upcoming fiscal budget to initiate these projects. Deputy Director of Fisheries Tayyab Rizwan stated that the value chain estates will be fully integrated, featuring hatcheries, feed mills, and shrimp processing plants. These facilities are expected to not only enhance shrimp production but also generate employment and stimulate seafood exports. In Lahore, the government plans to construct a modern model fish market at a projected cost of Rs10 billion. The facility will include cold storage, value addition units, and a streamlined supply chain network to improve market access for fish and shrimp farmers. An initial budget allocation of Rs848.6 million has been approved to commence construction.
Business Recorder
6 hours ago
- Business Recorder
PIA brings 121 nationals from Iran
KARACHI: Pakistan International Airlines (PIA) successfully completed its second special rescue flight on Friday, bringing 121 Pakistani nationals safely home from Iran via Azerbaijan's capital city Baku. According to PIA spokesman, the special flight PK-7160 landed at Lahore airport at 3:40 PM, carrying passengers who had been stranded in Iran due to recent airspace restrictions that affected normal flight operations. Due to the closure of Iranian airspace, the stranded Pakistani citizens were required to travel overland to Baku, Azerbaijan, where they boarded the PIA rescue flight for their journey home to Pakistan. The complex evacuation operation was made possible through the coordinated efforts of Pakistani diplomatic missions in both Iran and Azerbaijan, who played crucial roles in facilitating the safe passage of citizens to the departure point in Baku. The special flight was dispatched on direct instructions from the Government of Pakistan, demonstrating the state's commitment to ensuring the welfare of its citizens abroad during challenging circumstances, he said. Copyright Business Recorder, 2025
Business Recorder
6 hours ago
- Business Recorder
FBR directed to immediately stop sealing Tier-1 retail outlets
LAHORE: In a landmark decision, the Federal Tax Ombudsman (FTO) has ruled in favour of Pakistan's formal retail sector, directing the Federal Board of Revenue (FBR) to immediately stop sealing Tier-1retail outlets and address critical technical flaws in the Point of Sale (POS) system. The verdict comes as a major relief for retailers who have long struggled with systemic inefficiencies, excessive costs, and abrupt enforcement actions. The ruling was issued in response to a complaint filed by the Chainstore Association of Pakistan (CAP), which highlighted persistent issues such as POS system failures, exorbitant integration costs, unjustified profile disconnections, missing invoice uploads, and poor coordination between the FBR and its automation wing, the Pakistan Revenue Automation Limited (PRAL). According to the details the FTO has ordered the FBR to suspend the sealing of Tier-I retail stores until all technical issues in the POS system are fully resolved. The FBR has been instructed to consult CAP on future POS-related glitches and enforcement strategies to ensure smoother compliance and dispute resolution. The FTO criticized the lack of technical expertise among FBR officers, urging enhanced training and coordination with PRAL to address system-level failures. FTO directed that FBR must develop a forewarning mechanism to alert retailers about POS disconnections, token expirations, or system shutdowns to prevent sudden disruptions. Security tokens for POS systems should now remain valid for at least five years, with prior notice to retailers before expiration. Acknowledging a long-standing demand, the FBR has submitted a Change Request Form (CRF) to introduce a bulk download feature for POS data, which the FTO has stressed that it must be implemented urgently. The ruling confirmed frequent synchronization failures between retailer invoices and FBR servers, as well as 'fake disconnection' errors. The FTO has directed the FBR to resolve these issues technically and administratively. Responding to complaints about third-party integrators charging up to Rs10 per invoice or Rs1 million annually, the FBR stated that PRAL's integration services would now be free under SRO 69(I)/2025. The FTO has recommended quarterly meetings between the FBR, CAP, and other stakeholders to monitor POS performance and address grievances in real time. The decision is expected to alleviate significant operational and financial burdens on thousands of Tier-I retailers who had voluntarily integrated with the FBR's POS system but faced undue harassment due to technical and administrative shortcomings. The FTO emphasized that resolving these issues is crucial for improving tax compliance and advancing Pakistan's retail documentation efforts. Retail industry leaders have welcomed the ruling, calling it a step toward fairer enforcement and a more business-friendly tax regime. Copyright Business Recorder, 2025
