PIA sale price $250-$300 million????

[Amaad Lone]

A figure is being quoted that PIA will be sold for a price of 250-300 million dollars.

Is this 51% of the value or 100%??

The following nine 777s are airworthy, out of which BID is in storage, probably requiring engines.

AP-BHV AP-BID AP-BGJ AP-BGK AP-BGY AP-BGZ AP-BHX AP-BMG AP-BMH

All of these 777s are fully depreciated which means their BOOK VALUE IS ZERO.

But these 9 aircraft still have a residual value.
Plus cost of working engines and spares.

PIA just bought 2 16 year old A320s for $18 million per aircraft.
So this should give us an idea of what PIA 777s are worth.

Is airline being sold at BOOK VALUE or will these assets be calculated at MARKET VALUE today.

I guess looking at past experiences of privatization one cannot but think that someone is going to make a huge KICKBACK.

[Karachi Aviator]

Found this document on PIA's website if it helps:

[Amaad Lone]

Interesting document.

But first of all a large number of these aircraft are leased and cannot be included in the value of PIA.

Price of BID is much lower than BHX and both are same year built and BID is the larger model. Might be because its missing two engines.

BLY and BLZ valued at 13 million per plane, but I think PIA paid 18 million.

BHW and BHV priced the same, one is totally scrapped while other is flying. I wonder how these prices are calculated.

[Usman123]

Great question Ammad was thinking the same.

Airline must be worth 500 million dollars at least after removing debt

I think only the 777 fleet of PIA is worth 150-200 million dollars at least

And correct me if I am wrong more than 10 A320s and i think all the 777s are owned now
BMS, BMH & BMG were the only leased ones and there leases expired after 2022 and after the Malaysia airport grounding saga both BMG & BMH were purchased not sure about bms

I would say if we don't include any properties still the airline has pretty valuable assets after the debt has been removed

Pilots & crew members
Trained Staff & Technicians
Landing slots (Especially 14 in LHR)
Planes 20+ owned
Engines
Spare parts
Company vehicles
Maintenance vehicles
Ground handling equipment
Kitchen and its equipment
Ticketing offices in different airports

Just to name a few

[Karachi Aviator]

Landing slots (Especially 14 in LHR)

I think PIA has only 10 slots at LHR not 14. Also, the Ispahani hangar at JIAP and cargo sheds / complex at multiple airports across Pakistan should have decent values as well. Don't forget the Nur Khan hangar at ISB.