ISLAMABAD: The Competition Commission of Pakistan has approved the proposed acquisition of Pakistan International Airlines Corporation Limited by a consortium operating through a special purpose vehicle named PIA Equity Limited, according to an official statement issued on Wednesday.
The transaction forms part of the government’s ongoing privatisation programme and follows a competitive bidding process conducted under the supervision of the Privatisation Commission of Pakistan, where the consortium emerged as the successful bidder.
The acquiring group includes several major business entities such as Arif Habib Corporation, Fatima Fertiliser, Lake City Holdings, City Schools, and AKD Group.
In its review, the CCP assessed the impact of the deal across domestic and international passenger air transport, cargo operations, and aviation-related technical services. It concluded that Pakistan’s aviation sector remains highly competitive, particularly on international routes, where major global airlines such as Emirates, Qatar Airways, and Etihad Airways maintain a strong presence.
The regulator also noted active competition in the domestic market, with carriers including Air Blue, Air Sial, Fly Jinnah, and Serene Air operating on key routes. It further observed that PIA’s market share has gradually declined over time due to operational challenges.
The commission classified the transaction as a conglomerate merger, finding that it does not involve significant horizontal or vertical overlaps that would raise competition concerns. It added that the acquisition would neither create nor strengthen a dominant market position nor significantly reduce competition in the aviation sector.