The headlines are everywhere. Pakistan International Airlines (PIA) has finally been sold. In a historic auction yesterday, a consortium led by the Arif Habib Group placed a winning bid of Rs. 135 billion, taking control of the national flag carrier.
But while the country discusses the fate of the airline, a bigger question is flying under the radar: Who exactly is Arif Habib?
For many, it’s just a name on a stock ticker. For the financial world, however, they are the “Goldman Sachs of Pakistan”. Here is the untold story of the financial engine that just took on the country’s biggest challenge.
To understand the PIA deal, you have to look at the brain behind the brawn: Arif Habib Limited (AHL).
AHL isn’t just a company… It is the heartbeat of the Pakistan Stock Exchange (PSX). If a foreign investor wants to buy Pakistani stocks, they usually knock on AHL’s door first.
The story didn’t start in a boardroom. It started in 1970, with a young Mr. Arif Habib running a sole proprietorship.
No MBA. No safety net. Just the grit of a migrant Memon family from Gujarat and a killer instinct. Arif Habib is the heavy hitter of Pakistan’s corporate landscape. His family left their property in Bantva to start over in 1947, and Habib followed suit. Starting with a 60-rupee paycheck in 1970 and only a Matriculation degree, this man eventually managed over $430 million in assets. Now, Habib’s career is a masterclass in calculated risk.
Mr. Arif Habib is the Chief Executive of Arif Habib Corporation Limited, the holding company of Arif Habib Group. Arif Habib has been elected President/Chairman of Karachi Stock Exchange six times in the past and was a Founding Member and Chairman of the Central Depository Company of Pakistan Limited. He has served as a Member of the Privatisation Commission, Board of Investment, Tariff Reforms Commission and Securities & Exchange Ordinance Review Committee. He is currently a member of the Think-Tank constituted by the Prime Minister on COVID-19-related economic issues.
Mr. Habib participates significantly in welfare activities. He remains one of the directors of Pakistan Centre for Philanthropy (PCP), Karachi Education Initiative (KSBL) and Karachi Sports Foundation, as well as a trustee of Memon Health & Education Foundation (MMI) and Fatimid Foundation.
For decades, the firm built a reputation for something rare in the early days of the market: Integrity.
AHL became the financial architect for this industrial expansion, raising capital and structuring deals that shaped Pakistan’s modern economy.
Before buying PIA, AHL spent decades selling other massive companies. Their Investment Banking division is the “Crown Jewel”. They have executed over USD 2.65 billion in equity deals.
They moved from advising the state on how to sell assets to buying the assets themselves. That is a power move.
Yesterday’s acquisition of PIA wasn’t just a purchase… It was a statement. The deal structure is brilliant. The Rs. 135 billion bid isn’t just going into the government’s pocket. A massive 92.5% of that cash will be reinvested directly into PIA to fix the airline.
And AHL didn’t come alone. They assembled a financial “Avengers” team. The consortium includes:
Arif Habib Limited has evolved from a traditional broker into a systemic financial institution. They are a proxy for Pakistan’s economy… When the country grows, they grow.
Buying PIA is their biggest gamble yet. But if there is one group with the financial depth, the strategic alliances, and the sheer nerve to turn a “White Elephant” into a soaring eagle, it’s them.