Islamabad, Nov 1: Blue World City consortium failed to meet the Privatisation Commission minimum expectation of being Rs85.03 billion and remained limited to its initial offer of Rs10 billion for a 60% share in Pakistan International Airlines (PIA) thus ending the privatisation bidding of the national flag carrier.
The rules state that the ball is now in court of the Privatisation Commission to declare Blue World City as the highest ranked bidder of in canceling the bidding process.
“The cabinet is the final decision maker on the bid off and the bid on.”
The only company that offered to bid for the national flag carrier offered Rs 10 billion.
Blue World City pointed out that the valuation the company made placed it right within this bid.
The bids were to be submitted at 1:30pm. Some groups avoided putting down the ‘earnest money’ meaning that they could not present their bid.
And Blue World City shown interest to buy the PIA’s stake to the amount of Rs 10 billion.
Out of the six groups short-listed to bid for PIA stocks,
Airblue Ltd., Arif Habib Corporation Ltd., the Air Arabia’s Fly Jinnah-Y. B Holdings Pvt., Pak Ethanol Pvt Ltd and Blue World City, real estate firm.
IRIS Communication Ltd of Blue World City had Blue World Aviation consortium.
The possibility of acquiring operations of the Islamabad International Airport that the government plans to privatize.
Islamabad revealed plans to sell a stake of between 51% and 100% in the struggling airline as part of the reforms recommended
The International Monetary Fund (IMF) with which Pakistan has a current 37-month, $7-billion bailout package.
