Arif Habib-led group to gain full control of PIA

Published
1
PIA buyers hope the change of sponsors will be completed by end of April or early May.—AFP/file
PIA buyers hope the change of sponsors will be completed by end of April or early May.—AFP/file

ISLAMABAD: The consortium led by the Arif Habib Group has announced plans to acquire the remaining 25 per cent government stake in Pakistan International Airlines (PIA), thereby securing full control of the national flag carrier.

In December 2025, the group acquired a 75pc stake for Rs135 billion, with the goal of transforming the loss-making airline through operational restructuring, fleet expansion, and improved customer service. To ensure the success of its revival plan, the consortium now seeks to take full control of decision-making.

The acquisition will allow the consortium to implement management changes by the end of April. Shahid Ali Habib, CEO of Arif Habib Ltd, told Dawn that this will enable them to operate as a private entity, free from government-appointed board members.

“The change of sponsors is scheduled for late April or early May,” he added.

Consortium to acquire remaining 25pc stake for Rs45bn

The government has given the consortium a 90-day window to purchase the remaining shares, valued at approximately Rs45bn, with the deadline set for the end of April. The agreement, signed in January, allows a 12-month period to transfer funds, making the acquisition a viable option.

The winning consortium includes Fatima Fertiliser (34.1pc), Fauji Fertiliser (33.9pc), Lake City (16pc), and the City School with AKD (Aqeel Karim Dhedhi) Group (16pc). The new management, supported by Rs125bn, will have the financial flexibility to implement reforms, with the new board tasked with raising capital for PIA’s rebranding.

PIA was established in 1955 and became a public limited company in 2016 through the Pakistan International Airlines (Conversion) Act.

Following approval from the Securities and Exchange Commission of Pakistan (SECP) in May 2024, PIA was delisted from the stock exchange and became a wholly owned subsidiary of PIA Holding Company Ltd (PIAHCL), formed in March 2024 to oversee the airline’s privatisation.

Published in Dawn, February 15th, 2026

Opinion

Editorial

Muddled hierarchy
Updated 15 Nov, 2026

Muddled hierarchy

The jurisdiction of the two courts and a mechanism for settling disputes between them should be spelt out in law, not left to judges to fight over.
Growing crisis
Updated 15 Nov, 2026

Growing crisis

Calling population growth a national emergency is easy. Ensuring that the response reaches the people who need it is the real challenge.
Organised rackets
15 Nov, 2026

Organised rackets

ON the International Day against Transnational Organised Crime, observed today, Pakistan finds itself in a tight...
Referendum talk
Updated 14 Nov, 2026

Referendum talk

Unless the PPP is deliberately using Sindh as a bargaining chip, it should issue a clarification with a clear, consistent position on new administrative units, not one tailored to protect its home turf.
Mineral wealth
Updated 14 Nov, 2026

Mineral wealth

Minerals should not be presented as a solution to Pakistan’s long-term economic difficulties. The aim should be to build an industrial base rather than export raw materials.
Late diagnosis
14 Nov, 2026

Late diagnosis

AS we mark World Diabetes Day today, Pakistan faces a troubling question: how many people are living with diabetes...