The Pakistan Stock Exchange (PSE) has delisted shares in PIA - Pakistan International Airlines (PK, Islamabad International), effective May 25. The delisting is a cog in PIA's privatisation that will see the loss-making carrier pass into majority private ownership and control.

The privatisation will see non-core assets and liabilities transferred off PIA's balance sheet into a newly established entity called PIA Holding Company Limited (PIA HoldCo). The goal is to clean up PIA's books and offload most of its debts, making it a more attractive proposition to potential investors.

Under the scheme of arrangement, PIA shareholders (the Pakistani government owns around 96% of the issued shares) will become shareholders of PIA HoldCo in the same proportion they currently hold PIA shares, and PIA will become a wholly owned subsidiary of PIA HoldCo.

On May 21, the PSE said shares in PIA HoldCo would list on May 27 "pursuant to the scheme of arrangement between Pakistan International Airlines Corporation Limited and PIA Holding Company Limited sanctioned by the Securities and Exchange Commission of Pakistan vide its order dated May 3, 2024, under s.279 - 283 and 285(8) of the Companies Act (2017)."

The bourse will list PIA HoldCo class A and B shares at the same price as the closing price of PIA class A and B shares on May 25.

Meanwhile, PIA has issued catering tender notices that provide some insight into its plans to fly to the UK if that country's civil aviation authority soon lifts its ban on the airline flying to the UK. PIA is attempting to lock in a London Heathrow caterer to supply ten weekly roundtrips (7,500 meals) for that airport, a Manchester International caterer to supply nine weekly roundtrips (6,500 meals) to that airport, and a Birmingham, GB caterer to supply two weekly roundtrips (2,200 meals) to that airport. The tender documents require prospective suppliers to meet certain technical and financial requirements, supply details of prices, and submit to an evaluative scoring process. The deadline to submit the tenders is June 27.