Shares of PIA have seen a major surge in value and trading activity over the past two months. The strong rally has drawn the attention of the Pakistan Stock Exchange (PSX), which has now asked the national airline to explain the sudden rise.
In an official notice, the PSX requested details about any possible developments that may have influenced the stock’s unusual movement. The exchange highlighted that the share price of PIA had increased sharply in a short period, along with a significant jump in daily trading volume.
PIA responded to the notice and stated that it was not aware of any undisclosed event that could have caused the sharp increase. The airline said it had no material information that was not already shared with the market.
Share Price Nearly Doubles
The stock of the national carrier has almost doubled in value during the last two months. It was trading near Rs23 earlier and has now reached around Rs46. This rise has come with heavy trading activity, indicating strong interest from investors.
Market observers say the sharp price jump is unusual, particularly for a company facing long-term financial challenges. However, they note that market sentiment can change quickly when major announcements or policy shifts appear likely.
Privatization Plan Sparks Investor Interest
The government’s plan to privatize the airline has added to the market’s excitement. Authorities recently confirmed that the auction to sell PIA is scheduled for December 23. This announcement has created speculation about the future of the airline and its potential value under private management.
Analysts believe this upcoming privatization is a key factor behind the stock’s current performance. Investors are expecting that a change in ownership may improve the airline’s operations and financial standing. This expectation has likely contributed to the rapid rise in share price and trading volume.
In other related news also read PIA Privatisation Enters Final Stages
Despite the speculation, the airline continues to state that it has no additional information to disclose. The PSX will monitor the situation until the planned auction date approaches.
