- The government offers a 75% stake in PIA for sale today.
- Three bidders remain after Fauji Foundation exit
- Sealed bids open at 3:30 pm in Islamabad, in front of the media
- Most money goes to PIA, not the government.
Pakistan International Airlines (PIA) reaches a decisive moment today as the government opens sealed bids to sell a 75% stake in the national carrier. The bidding will take place on Tuesday, December 23, 2025, in Islamabad.
After more than a decade of failed attempts, the privatization process enters its final stage. The outcome will decide who takes control of the airline and how its future shapes Pakistan’s aviation sector.
Only three bidders are now competing. One group is led by Lucky Group, and another by Arif Habib. The third bidder is Air Blue, which is participating on its own.
The Fauji Foundation has exited the process before bidding. Privatization Adviser Muhammad Ali confirmed the exit.
How the Bidding Process Will Work
Bidders submitted sealed offers earlier today. The bids will be opened publicly at 3:30pm in the presence of the media. The Privatization Commission and the Cabinet Committee will approve the reserve price after reviewing the bids.
If a bid is higher than the reserve price, it will be accepted. If all bids are lower, the highest bidder may be asked to match the price. The event will be broadcast live.
The winning bidder will receive 75% ownership of PIA. The government will keep the remaining 25%. The buyer will have 90 days to purchase the remaining shares at a higher price if it wishes.
Out of the total bid amount, 92.5% will go directly to PIA. The remaining 7.5% will go to the government.
PIA’s Financial Position
PIA carries heavy losses. As of June 2023, its total liabilities crossed Rs825 billion. The airline also had negative equity of Rs649 billion.
To manage this, the government moved most bad debt to a separate holding company. Rs26 billion will remain with PIA and be paid over five years.
PIA currently operates 18 aircraft out of a total fleet of 34. It has agreements with 97 countries and landing rights in more than 170 countries.
