You are here: Home » PTI Stories » National » News
Business Standard

Pakistani flag carrier raises USD 130 million

AFP  |  Karachi 

Pakistan's national flag carrier said today it has raised USD 130 million in fresh financing from a consortium, as the airline staggers under the weight of earlier loans totalling more than USD 3 billion.

International Airlines (PIA) said in a statement the financing facility was arranged by Pakistan's United Limited (UBL) and Credit Suisse as lead bankers, in addition to the state-run National of Pakistan.



"The (financing) facility... Will be utilised by PIA for its general working capital requirements and in improvement in passenger services," the statement said.

However, a PIA official requesting anonymity said the fresh loan might be utilised to help settle earlier loans.

PIA's cumulative loans stand at around 329 billion rupees, or USD 3.16 billion. It suffers heavy financial losses annually, posting a 32 billion rupee loss in 2015.

Prime Minister Nawaz Sharif's tried to privatise the airline earlier this year but its 18,000 employees fiercely resisted.

Two employees were killed in February as police tried to clamp down on protesting employees outside the airline's head office in Karachi.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

RECOMMENDED FOR YOU

Pakistani flag carrier raises USD 130 million

Pakistan's national flag carrier said today it has raised USD 130 million in fresh financing from a banking consortium, as the airline staggers under the weight of earlier loans totalling more than USD 3 billion. Pakistan International Airlines (PIA) said in a statement the financing facility was arranged by Pakistan's United Bank Limited (UBL) and Credit Suisse Singapore as lead bankers, in addition to the state-run National Bank of Pakistan. "The (financing) facility... Will be utilised by PIA for its general working capital requirements and in improvement in passenger services," the statement said. However, a PIA official requesting anonymity said the fresh loan might be utilised to help settle earlier loans. PIA's cumulative loans stand at around 329 billion rupees, or USD 3.16 billion. It suffers heavy financial losses annually, posting a 32 billion rupee loss in 2015. Prime Minister Nawaz Sharif's government tried to privatise the airline earlier this year but its 18,000 ... Pakistan's national flag carrier said today it has raised USD 130 million in fresh financing from a consortium, as the airline staggers under the weight of earlier loans totalling more than USD 3 billion.

International Airlines (PIA) said in a statement the financing facility was arranged by Pakistan's United Limited (UBL) and Credit Suisse as lead bankers, in addition to the state-run National of Pakistan.

"The (financing) facility... Will be utilised by PIA for its general working capital requirements and in improvement in passenger services," the statement said.

However, a PIA official requesting anonymity said the fresh loan might be utilised to help settle earlier loans.

PIA's cumulative loans stand at around 329 billion rupees, or USD 3.16 billion. It suffers heavy financial losses annually, posting a 32 billion rupee loss in 2015.

Prime Minister Nawaz Sharif's tried to privatise the airline earlier this year but its 18,000 employees fiercely resisted.

Two employees were killed in February as police tried to clamp down on protesting employees outside the airline's head office in Karachi.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

image
Business Standard
177 22

Pakistani flag carrier raises USD 130 million

Pakistan's national flag carrier said today it has raised USD 130 million in fresh financing from a consortium, as the airline staggers under the weight of earlier loans totalling more than USD 3 billion.

International Airlines (PIA) said in a statement the financing facility was arranged by Pakistan's United Limited (UBL) and Credit Suisse as lead bankers, in addition to the state-run National of Pakistan.

"The (financing) facility... Will be utilised by PIA for its general working capital requirements and in improvement in passenger services," the statement said.

However, a PIA official requesting anonymity said the fresh loan might be utilised to help settle earlier loans.

PIA's cumulative loans stand at around 329 billion rupees, or USD 3.16 billion. It suffers heavy financial losses annually, posting a 32 billion rupee loss in 2015.

Prime Minister Nawaz Sharif's tried to privatise the airline earlier this year but its 18,000 employees fiercely resisted.

Two employees were killed in February as police tried to clamp down on protesting employees outside the airline's head office in Karachi.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

image
Business Standard
177 22

Upgrade To Premium Services

Welcome User

Business Standard is happy to inform you of the launch of "Business Standard Premium Services"

As a premium subscriber you get an across device unfettered access to a range of services which include:

  • Access Exclusive content - articles, features & opinion pieces
  • Weekly Industry/Genre specific newsletters - Choose multiple industries/genres
  • Access to 17 plus years of content archives
  • Set Stock price alerts for your portfolio and watch list and get them delivered to your e-mail box
  • End of day news alerts on 5 companies (via email)
  • NEW: Get seamless access to WSJ.com at a great price. No additional sign-up required.
 

Premium Services

In Partnership with

 

Dear Guest,

 

Welcome to the premium services of Business Standard brought to you courtesy FIS.
Kindly visit the Manage my subscription page to discover the benefits of this programme.

Enjoy Reading!
Team Business Standard