PIA Holding Company Limited (PIAHCL) has approved the transfer of its subsidiary, Precision Engineering Complex (PEC), to a new entity owned by the Pakistan Air Force (PAF), marking a key step in the airline’s ongoing restructuring process.
The decision was announced in a disclosure to the Pakistan Stock Exchange (PSX) on Monday.
PIAHCL, a public limited company majority-owned by the Government of Pakistan, was established to take over specified assets, liabilities, and subsidiaries of Pakistan International Airlines Corporation Limited (PIACL).
According to the PSX notice, shareholders passed the resolution at an Extraordinary General Meeting (EGM) held on October 25, 2025. Under the approved scheme, PEC will be carved out from PIAHCL and transferred to Precision Engineering Complex (Private) Limited — a company designated by the PAF — effective May 1, 2025.
“The shareholders of PIAHCL do hereby approve the Scheme of Arrangement… for the carving out and transfer of Precision Engineering Complex (PEC) from PIAHCL to Precision Engg Comp (Private) Limited (PECPL), designated entity of Pakistan Air Force,” the notice stated.
The company’s Chief Executive Officer and Company Secretary have been authorised to complete all related legal and regulatory requirements, including filings with the Securities and Exchange Commission of Pakistan (SECP) and obtaining no-objection certificates from relevant authorities.
The Precision Engineering Complex, originally part of Pakistan International Airlines, manufactures high-precision components for the aerospace and engineering industries. The facility integrates multiple engineering disciplines, including investment casting, CNC machining, optics, electronics, and composites.
PEC is a certified supplier to international firms such as General Electric, Airbus Industries, and Boeing, with clients across the United States and Europe.
