ISLAMABAD: The aspirants to buy PIA refused to accept the huge conditions imposed by the government.
Bidders are not willing to invest $500 million in PIA, increase fleet size and continue operations on certain routes, sources said, with potential buyers reinvesting the entire sale proceeds into the airline instead of giving it to the government. Proposed to be kept for investment, the bidders want to issue new appointment letters for the employees whom they decide to hire, while asking for the remaining employees to be sent to the holding company.
According to sources, this issue is now being discussed at the highest level. If the government accepts these demands, the balance will go in favor of PIA buyers. The 6 bidders shortlisted by the government have submitted the proposed shareholders agreement. And has also expressed reservations on the sale purchase agreement, the purchase agreement, subscription agreement and shareholders agreement will be signed between the successful buyer and the government. City, Pak Ethanol Private Consortium and YB Holdings Consortium have been shortlisted.
Sources said that two pre-qualified parties have proposed to invest in PIA instead of keeping the entire bid amount or giving it to the government, while a local airline is interested in acquiring 100 percent stake in PIA. has disclosed and wants to pay the amount to the government, while the government has proposed to split the bid price into two parts, thus the government wants to keep some money and is willing to invest some money in PIA. is
