Islamabad: The Privatisation Commission (PC) has made significant progress on key asset divestments, underscoring renewed drive in its privatisation agenda. The PC Board has prequalified four investor groups for the sale of Pakistan International Airlines Corporation Limited (PIACL). Meanwhile, the Cabinet Committee on Privatisation (CCOP) has endorsed the transaction structure for New York’s Roosevelt Hotel, deciding on a joint venture approach aimed at securing optimal returns for Pakistan.
In its 237th meeting chaired by Muhammad Ali, Adviser to the Prime Minister on Privatisation and Chairman of the Privatisation Commission, the PC Board reviewed and approved the prequalification of four interested parties out of five applicants for PIACL’s privatisation. The decision followed a comprehensive assessment of the Statements of Qualification (SOQs) against established technical, financial, and documentary benchmarks.
The prequalified investors include:
1. A consortium of Lucky Cement Limited, Hub Power Holdings Limited, Kohat Cement Company Limited, and Metro Ventures (Private) Limited
2. A consortium of Arif Habib Corporation Limited, Fatima Fertilizer Company Limited, City Schools (Private) Limited, and Lake City Holdings (Private) Limited
3. Fauji Fertilizer Company Limited
4. Air Blue (Private) Limited
These entities will now proceed to the buy-side due diligence stage, a crucial phase designed to ensure a transparent and competitive privatisation process.
In a parallel development, the CCOP has approved the transaction structure for the Roosevelt Hotel, New York. Based on recommendations from the Privatisation Commission and its Financial Advisor, the government selected a joint venture model with flexible options over outright sale or long-term lease. The approved structure aims to deliver optimal long-term value, minimize fiscal risks, and retain strategic flexibility.
Both decisions are seen as pivotal moves in the government’s broader strategy to implement economic reforms and attract private investment through market-based mechanisms.
