http://www.thestar.com/article/222008

FINANCE
TheStar.com - Business
Pakistan to sell shares in bank for first time

Jun 06, 2007 04:30 AM
Pakistan's government plans to sell part of its 49 per cent stake in Habib Bank Ltd., the second-biggest lender in the country, through a domestic share offering this month, ahead of a plan to sell shares overseas.

The Board of Privatization Commission, the government agency in charge of selling assets, has given a "go ahead" for Habib Bank's initial public offering, the Islamabad-based agency said this week.

Pakistan's government, which has raised the equivalent of more than $6 billion (U.S.) selling shares in state-owned companies since the 1990s, when the program began, needs funds to help repay $36 billion of overseas debt.


Something tells me that is not a good move at all, since most of the bank have allready been privatised, this one still needs to remain under the control of the government. If any entity needs to be privatised to raise funds to repay loans, then it should be PIA.

this is good news, this way habib bank can aim for something bigger, it can aim for profits which will make it a better bank in the long run, maybe it'll make it into a financial institution eventually

I thought Pakistani government doesnt have any shares in banks anymore. Well they should be selling their stakes.

Only PSO, OGDC, SSGC and the likes should still be owned by the government.

the reason PIA is not privatized i believe is because the government considers it to be a strategic asset, given the role that an airline can play if you suddenly go to war. the planes become invaluable in carrying supplies and personnel in case you lose your military aircraft. of course, that may not be the reason they havent privatized it. however, PIA went from being nearly bankrupt to becoming nearly profitable. it has not done that bad recently.

A friend in-need is a friend indeed? http://dawn.com/2007/06/14/top7.htm

Saudi FM sues PIA

By Masood Haider

NEW YORK, June 13: Saudi Arabian Foreign Minister Saud Al-Faisal has sued Pakistan International Airlines, accusing it of blocking efforts to sell $8.6 million in shares of the carrier's PIA Investments unit, a Bloomsburg News report says.

In the complaint, filed in

New York State Supreme Court in Manhattan last week, Prince Al-Faisal accused PIA Investments and the airline of try-

ing to halt his sale of 7,200 shares to Alpha Capital MC Limited.

PIA Investments, owner and manager of the Roosevelt Hotel in Manhattan and Hotel Scribe in Paris, has a first right of refusal and offered ``a grossly reduced price'' of $480,000 on May 2, the suit said.

“Rather than permit the sale to proceed, or acquiring the shares as PIAC was entitled to, PIAC instructed the company to redeem the claimant's shares as an end-run around Prince Faisal's shareholder rights,'' the prince said in the suit.

PIA seems liek a lost cause, but all the new private airlines out their show alot of hope and potential.

PIA is in deeper sh!t. The quicker we sell PIA, the better.


In times of war, a few of our planes would be parked, and of no use for commercial purposes. In that case PAF can lease those aircrafts and use them, if need be.

Strategic assets are PSO, OGDC, SSGC and the likes, I believe. Not PIA.

ll it isnt govt. controlled habib bank , the major share and control is with aga khan foundation

NATIONAL BANK OF PAKISTAN IS the only big state owned BANK now. BOP is owned by punab govt. nd some other institutins as well

pia is such a strategic asset that dr.salman shah called a white elephant sucking money out of the governments pockets. then he responded by saying corruption is a curse in pakistan. he is more honest than most musharraf loyalists.

and you're more insane than most people who bad mouth musharraf. PIA takes up money from the country, but its been doing so for 15 years. its been making profits for several years before it went back into the negative for a bit, mostly because PIA had purchaed new aircraft. how about reading every once in a while.