ISLAMABAD, Feb 15: The Cabinet Committee on Privatisation (CCoP) here on Friday directed the Privatisation Commission (PC) to arrange a presentation indicating various options and modes of privatisation by the financial adviser for sale of Roosevelt Hotel New York at the earliest.

Sources said that the CCoP wanted the PC to ask the Citibank, which is the financial adviser to disinvest Roosevelt Hotel, to “maximise the proceeds” for the transaction so that Pakistan International Airlines could buy new aircraft after the sale of its hotel in New York.

The financial adviser, sources said, would now have to come up with new details to privatise the hotel otherwise it would not be put up for sale in the near future.

The meeting, chaired by caretaker Prime Minister Mohammedmian Soomro, was informed about the PIA hotel deal about which many people within the government had been expressing their apprehensions.

When contacted PIA chairman Zafar Ahmad Khan told Dawn that he could not say anything about the price of the hotel and that it was to be determined and decided by the Privatisation Commission. “Our focus is on the process and not on the price,” he said.

Responding to a question, Mr Khan said that the PIA wanted to purchase new aircraft by selling the Roosevelt Hotel and that the objective was to reduce the financial difficulties of the corporation. “But the rest of the matter has to be settled by the PC and not PIA,” he added.

Earlier, PIA was seeking arbitration for the resolution of its dispute with Saudi Prince Faisal bin Khalid bin Abdulaziz Saud regarding the sale of his one per cent share in the airline’s subsidiary PIA Investments Limited after a New York court dismissed his lawsuit against the airline.

The PIA was interesting in arbitration of the matter in accordance with the shareholders agreement.

The CCoP reviewed with satisfaction the progress of the ongoing privatisation programme for the current financial year. The programme is expected to fetch Rs114 billion against which an amount of Rs27 billion has already been realised.

The meeting was given an update regarding the ongoing transactions including launching of Global Depository Receipts of Kot Addu Power Company, Habib Bank Limited and National Bank of Pakistan.

The CCoP was also apprised about the progress on SME Bank and Hazara Phosphate & Fertilisers Limited, Pakistan Machine Tool Factory, Heavy Electrical Complex and National Power Construction Company transactions.

Keeping in view the renewed interest and the requests from investors, the CCoP decided to invite fresh Expressions of Interest for Jamshoro Power Company making conditions for the successful buyer to improve efficiency and upgrade the unit as a part of the deal through fresh investment.