PIA Privatization Advances with First Completion of Share Transfer Agreement
Islamabad, July 2, 2026: Pakistan’s aviation sector has taken another significant step toward privatization as PIA Holding Company Limited (PIAHCL) announced the successful completion of the first phase of the privatization of Pakistan International Airlines Corporation Limited (PIACL). The development marks a key milestone in the government’s ongoing efforts to restructure and modernize the national carrier.
According to a material information notice issued by PIAHCL, the First Completion under the Share Purchase and Subscription Agreement (SPSA), which was executed on January 29, 2026, officially took place on June 29, 2026. The agreement follows the company’s earlier disclosure regarding the privatization process made on December 24, 2025.
As part of the completed transaction, the share transfer and equity subscription contemplated under the SPSA have been successfully implemented. Consequently, PIA Equity Limited, the special purpose vehicle established by the successful bidder consortium, now holds 66.67% of the issued and paid-up share capital of PIACL, while PIAHCL retains the remaining 33.33% stake.
The company further disclosed that the first agreed tranche of the subscription amount has been injected into PIACL as fresh equity capital through the issuance of new shares in accordance with the SPSA. This capital infusion is expected to strengthen the airline’s financial position and support its operational restructuring initiatives.
The announcement was made in compliance with Section 96 of the Securities Act, 2015 and Clause 5.6.1(a) of the Pakistan Stock Exchange Regulations, with the information disseminated through the PSX’s PUCARS platform to keep shareholders and the market informed.
The completion of this first phase represents a major milestone in Pakistan’s long-awaited privatization program for the national airline and is expected to pave the way for operational improvements, enhanced governance, and long-term financial sustainability for PIACL.
