Arif Habib Consortium has acquired Pakistan International Airlines for Rs135 billion in the second and final round of the auction for the privatisation of the national carrier, while the Lucky Cement Consortium emerged as the second-highest bidder with an offer of Rs134 billion.
Following the conclusion of the first round, in which two bidders, Arif Habib Consortium and Lucky Cement, offered above the government’s reference price of Rs100b.
The government’s approved reference price for the 75% stake is Rs100b, and the first round of bidding saw competitive offers from pre-qualified bidders.
Lucky Cement had submitted a bid of over Rs101.5b and had signed the record sheet. Airblue had followed, with its representative announcing a bid of Rs26.5b aloud. All bids were recorded and signed on the official sheets, with Arif Habib having emerged as the highest bidder among the three.
The bidding process for the privatisation of PIA intensified in the second round as competing Arif Habib Consortium and Arif Habib Consortium repeatedly raised their offers during the final round of the auction.
The Lucky Consortium initially increased its bid to Rs125b, prompting the Arif Habib Consortium to raise its offer to Rs126b. The competition continued as the Lucky Consortium enhanced its bid to Rs128b, while the Arif Habib Consortium responded with an offer of Rs129b.
Bidding war further escalated when Lucky Cement submitted a Rs130b offer, which was countered by Arif Habib at Rs131b. Lucky Cement further raised its bid to Rs132b, while Arif Habib moved ahead with Rs133b.
