Fauji Fertilizer Company (FFC) meets all the requirements of participation in the consortium, reported by Privatization Commission. They are all set to enter the consortium securing 75 percent stake in Pakistan International Airlines (PIA), extending the buyer pool.

Muhammad Ali, Prime Minister’s adviser on privatization, leads the Privatization Commission board and has confirmed that FFC has been found fully eligible before it was endorsed for inclusion.

For final approval, this matter will now move to the cabinet commission.

Also, Fauji Fertilizer Company’s participation has been widely accepted. Arif Habib had openly indicated the FFC could join at the advanced stage, when Arif Habib corporation-led consortium outbid an opponent group backed by Lucky Cement Group in December, with a winning bid of Rs135 billion which is counted as largest privatization in country in two decades. According to the agreement terms, the consortium was allowed to select two additional members.

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Arif Habib corporation is the main leading member and majority stake holder in Consortium. The multi-member consortium now includes Fatima Fertiliser, AKD Group, City Schools, Lake City Holdings, and, pending cabinet sign-off, FFC.

The deal’s initial closing is scheduled for late April, requiring the consortium to pay two-thirds of the bid value approximately Rs83.3 billion.

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The deal, designed to channel Rs124.87 billion directly into Pakistan International Airlines instead of the national treasury, is a key part of Pakistan’s IMF-supported reform plan. Before the sale, the airline was losing around Rs50 billion each year.

In addition, the Privatization Commission board also proposed updating the commission’s fee structure to enhance financial sustainability and back institutional reforms.