ISLAMABAD: Fauji Fertilizer Company Ltd. (FFC), a unit of the Pakistan army-run Fauji Foundation, said on Monday its board had approved submitting an expression of interest to acquire a stake in loss-making national carrier PIA, according to a filing with the Pakistan Stock Exchange (PSX).
Islamabad is trying to offload a controlling stake of 51-100 percent in PIA under a $7 billion International Monetary Fund program aimed at overhauling state-owned firms. Authorities last month pushed back the deadline for expressions of interest to June 19.
“The board … has approved submission of an expression of interest and pre-qualification documents to the Privatization Commission … and undertaking a comprehensive due-diligence exercise,” FFC said in the filing.
FFC is Pakistan’s biggest fertilizer maker and has diversified interests in energy, food and finance. Any deal on PIA would expand the military group’s footprint into aviation, though final terms will hinge on the government’s privatization process and regulatory approvals.
FFC’s move marks Pakistan’s second attempt to sell PIA.
