Pakistani Group Proposes Rs 130 Billion Acquisition for PIA Amid EU Negotiations

An overseas group named Al Nahang proposes acquiring Pakistan International Airlines for over Rs 130 billion, including settling Rs 250 billion debt. They offer job security and a phased salary increase while planning to modernize the fleet. EU talks are ongoing to lift PIA's operational ban.

In a strategic plan to revitalise Pakistan International Airlines (PIA), the overseas group Al Nahang has proposed a substantial acquisition valued at over Rs 130 billion. The ambitious offer includes settling the airline's towering Rs 250 billion debt, as revealed by sources close to the matter.

The offer from Al Nahang comes on the heels of a less favourable Rs 10 billion bid by a local group, far below the Rs 85 billion minimum sale price set by the Pakistani government. Al Nahang has not only pledged to avoid layoffs but also plans to incrementally double employees' salaries, which reflects their commitment to strengthen and modernize the workforce.

Additionally, ongoing efforts to restore PIA operations in European airspace are taking shape, with several discussions held between Pakistani aviation officials and the European Union Aviation Safety Agency (EASA). The talks are aimed at lifting restrictions imposed after a 2020 pilot license scandal, and officials are pressing for a resolution ahead of a decisive meeting slated for November 19, 2024, in Brussels.

(With inputs from agencies.)