Pakistan on Monday completed the Rs180 billion privatisation of Pakistan International Airlines Corporation Limited (PIACL), with management control formally transferred to PIA Equity Ltd, a special purpose vehicle (SPV) of the Arif Habib Corporation-led consortium.

The transfer marks the successful completion of the privatisation process launched last year and represents the country’s first major privatisation in two decades.

Following the transfer of shares, the airline’s new management constituted a Board of Directors and unanimously appointed Lt Gen (retd) Anwar Ali Haider as chairman of the privatised national carrier.

The new board comprises Lt Gen (retd) Anwar Ali Haider, Jahangir Paracha, Gohar Ejaz, Arif Habib, Fazal Sheikh, Aqeel Karim Dhedhi and Farzana Feroze.

In a statement, the Privatisation Commission said the transaction reflects Pakistan’s commitment to executing complex deals through a transparent, fair and competitive process.

It added that the agreement carries a total investment commitment of Rs180 billion, including Rs125 billion in fresh capital for PIA’s transformation and Rs55 billion payable to the Government of Pakistan.

The commission also acknowledged the support and guidance of Prime Minister Shehbaz Sharif, Deputy Prime Minister and Foreign Minister Ishaq Dar, Finance Minister Muhammad Aurangzeb, members of the Cabinet Committee on Privatisation, and officials involved in completing the transaction.

PIA, in a statement issued after the handover, said the airline had officially entered a “new chapter of modernisation and global excellence” under its new management. It said the Rs125 billion equity injection had fully capitalised the airline and would support fleet modernisation, operational improvements and higher service standards.

“As the new ownership officially takes over today, we deeply understand that the trust of a nation isn’t simply transferred on a document. Trust is earned — mile by mile, smile by smile, year by year. We know this. And we accept the challenge wholeheartedly,” the chairman of PIA Equity Ltd said in the statement.

Former federal minister and board member Gohar Ejaz congratulated the nation on the completion of the privatisation process, describing it as Pakistan’s first major privatisation in 20 years and the largest transaction of its kind to date.

The completion of the deal marks a significant milestone in the government’s efforts to restructure state-owned enterprises, attract private investment and reduce the fiscal burden of loss-making public entities.