Fatima Fertilizer Eyes PIACL Privatization

Fatima Fertilizer Company Limited (FATIMA) has formally expressed its interest to the Privatisation Commission of Pakistan (PC) by submitting an Expression of Interest (EOI) and Statement of Qualification (SOQ) to engage in the privatization process of Pakistan International Airlines Corporation Limited (PIACL).

FATIMA’s submission was made as part of a consortium spearheaded by Arif Habib Corporation Limited (AHCL).

The announcements were communicated to the Pakistan Stock Exchange (PSX) through separate notifications issued by both FATIMA and AHCL earlier today.

According to a notification from the PC, FATIMA, AHCL, City Schools (Private) Limited, and Lake City Holdings (Private) Limited, have been pre-qualified to participate in the competitive bidding phase.

The company noted, “These pre-qualified entities are now set to enter the buy-side due diligence phase, a crucial step forward in the transparent privatization of PIACL.”

The notification further clarified that the consortium’s continued involvement hinges on the results of the due diligence process and subsequent guidance from the Board of Directors.

The government intends to divest equity in PIA through a process of competitive bidding.

Pakistan aims to offload between 51% and 100% of its stake in the financially challenged national airline to generate revenue and implement reforms in its state-owned enterprises, as mandated by a $7 billion agreement with the International Monetary Fund.