Habib PIA takeover to secure full control
The Arif Habib PIA takeover is moving toward completion. The consortium plans to buy the government’s remaining 25 percent stake. As a result, it will gain full control of Pakistan International Airlines.
The group bought a 75 percent share in December 2025. It paid Rs135 billion for the majority stake. Now, it wants complete authority to implement reforms.
Management Changes Expected by April
The consortium aims to finish the deal by the end of April. Therefore, it can operate the airline as a fully private entity. This step will remove government appointed board members.
Shahid Ali Habib, CEO of Arif Habib Ltd, confirmed the timeline. He said the sponsor change could happen in late April or early May. In addition, the move will allow faster decision making.
Deal Details And Consortium Structure
The government gave the group 90 days to buy the remaining shares. The stake is valued at around Rs45 billion. However, the agreement allows a 12-month period to transfer funds.
The winning consortium includes several major companies. Fatima Fertilizer holds 34.1 percent. Fauji Fertilizer owns 33.9 percent. Meanwhile, Lake City controls 16 percent. The City School and AKD Group share the remaining 16 percent.
Financial Support And Airline Reforms
The new management has backing of about Rs125 billion. Therefore, it has the flexibility to restructure operations. Plans include fleet expansion and better customer service.
The new board will also raise capital for a rebranding effort. As a result, the airline hopes to return to profitability.
PIA began operations in 1955. It became a public limited company in 2016. Later, regulators delisted it from the stock exchange in May 2024.
The airline then became a subsidiary of PIA Holding Company Ltd. This entity was created to manage the privatization process.
