PIA Bid Window Extended to June 19

Pakistan has extended the deadline for expressions of interest in acquiring a majority stake in Pakistan International Airlines (PIA) to June 19, the privatisation ministry said on Tuesday, offering additional time for potential bidders amid investor hesitation.

The original deadline was set for June 3, but the ministry gave no explanation for the extension nor disclosed if any formal bids had been received.

Islamabad is seeking to offload between 51% and 100% of the national carrier as part of a broader restructuring agenda tied to its $7bn IMF programme. The move follows last year’s failed privatisation attempt, which attracted a single bid significantly below the $300mn valuation.

To improve the carrier’s appeal, the government has shifted most of PIA’s legacy debt onto its own balance sheet, addressing key concerns raised by prospective investors in earlier rounds.

Despite years of financial losses, PIA reported a full-year profit in April for the first time in over two decades. However, external headwinds persist: in February, New York City cancelled a $220mn lease deal involving the Roosevelt Hotel, a prized foreign asset owned by the airline.