PTCL seeks PTA approval for acquisition of Telenor Pakistan and Orion Towers

The Pakistan Telecommunication Authority (PTA) has received an application seeking approval for the proposed acquisition of Telenor Pakistan (Private) Limited and Orion Towers (Private) Limited by Pakistan Telecommunication Company Limited (PTCL). 

According to a news report, the PTA has notified telecom consumers, stakeholders, and the general public about the application and invited written comments on the acquisition, which can be submitted to the Director General (Wireless Licensing).

According to official documents, the transaction involves the transfer of 100% shareholding from Telenor Pakistan B.V. to PTCL. Following this acquisition, PTCL will take control of Telenor Pakistan, Orion Towers, and Telenor LDI Communication (Pvt) Limited. 

Simultaneously, the Competition Commission of Pakistan (CCP) is conducting a Phase-II review of the proposed merger to evaluate its potential impact on competition within the telecom sector. The review aims to assess whether the transaction could limit market competitiveness and what conditions might be necessary to maintain fairness.

PTCL initially filed a pre-merger application on March 6, 2024, and the CCP issued its Phase-I order on May 3, 2024, in accordance with competition law. Phase-I findings indicated that the merger might affect competition, prompting the transition to a more detailed Phase-II review. This stage allows for 90 days to fully investigate the merger’s effects on the telecom market.

The CCP is currently conducting an extensive inquiry, gathering data from market participants, and consulting with the PTA as part of its in-depth analysis. The results of this review will determine whether the acquisition is approved and under what conditions.