PTA to Announce Decision on PTCL–Telenor Pakistan Acquisition Soon
The Pakistan Telecommunication Authority (PTA) is likely to issue its final decision on the PTCL Group’s acquisition of Telenor Pakistan within the next few weeks. According to sources quoted by ProPakistani, the regulator is currently reviewing detailed submissions from both Telenor and Ufone before announcing its ruling.
If PTA grants the No-Objection Certificate (NOC), Telenor Pakistan will then move to the Securities and Exchange Commission of Pakistan (SECP) and the State Bank of Pakistan (SBP) for the remaining regulatory clearances. After the change of management, the case will again return to PTA for final approval of the merger.
Major Progress Already Made
The acquisition has already crossed a major hurdle. The Competition Commission of Pakistan (CCP) has approved PTCL’s plan to acquire Telenor Pakistan and Orion Towers. However, this approval comes with strict conditions designed to safeguard fair competition in the telecom sector.
CCP’s decision requires PTCL and the new merged entity to operate with independent boards and management teams. UAE-based Etisalat—PTCL’s parent company—must ensure that the leadership appointed in Pakistan meets strict fitness and integrity standards.
Safeguards to Prevent Anti-Competitive Practices
To maintain a competitive market, CCP has introduced several key conditions:
✔ Independent Monitoring
A neutral third-party monitor will track compliance, review transactions, and share quarterly reports with CCP for the next five years.
✔ No Cross-Subsidisation
PTCL cannot use funds from one part of its business to unfairly support the merged company.
✔ Arm’s-Length Transactions
All dealings between related companies must be transparent and follow standard market rules.
✔ Non-Discriminatory Infrastructure Access
All telecom operators must receive equal access to PTCL’s infrastructure and services.
✔ PTA Oversight
PTCL and the merged entity must submit all existing and future Reference Interconnect Offers (RIOs) for PTA approval.
PTCL must also seek PTA approval for wholesale pricing related to:
- IP bandwidth
- Long-distance international (LDI) services
- Domestic leased lines
- Other telecom infrastructure provided to licensees
Predatory pricing has been strictly prohibited, and the operator must comply with quality-of-service benchmarks, tariff rules, and innovation targets.
CCP has emphasized that the benefits of this merger must be passed on to consumers—including improved service quality, better pricing options, and stronger network investments.
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Background of the Acquisition
The merger dates back to December 2023, when PTCL signed a Share Purchase Agreement with Telenor Group to acquire its Pakistan operations. The agreement was formally completed in August 2024, and CCP granted its Phase II approval on October 1, 2025.
PTCL later confirmed the acquisition at an estimated value of $400 million, based on a cash-free, debt-free structure.
What This Means for Pakistan’s Telecom Market
Once the final PTA approval is issued, the telecom landscape in Pakistan will transform significantly. The merger will reduce the number of major operators to three—Jazz, Zong, and the combined Ufone-Telenor entity.
This new market structure is expected to:
- Increase competition
- Drive better service quality
- Encourage new investments
- Improve pricing for consumers
The industry is now closely watching PTA’s final verdict, which is expected by the end of November.
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