Mr. Walid Irshaid, Chief Executive Office of PTCL has urged a cellular buyout from local market to handle falling margins in a competitive market with devolving tariffs.
“I don’t rule out an acquisition,” Chief Executive Officer Walid Irshaid said in an interview to Bloomberg. “We are not selling, we are buying.”
Mr. Irshaid was quoted as saying:
Pakistan cellular rates are the cheapest in the world. This can’t continue. This market has to consolidate, otherwise this will be a losing proposition for every operator.
This is not the first time that Mr. Irshaid has advocated consolidation in Pakistani market. He had expressed similar thoughts back in 2009 in a conference in Singapore when PTCL was in reported for being in talks with Warid for a buyout. However deal didn’t go through.
But its a difference time now – and appears that consolidation moves are pretty much over, particularly after Warid officially announced not to go for a merger/sellout.
However a lucrative business proposition can change investors mind at any given time. We aren’t aware of any such situation so far – but we will keep an eye to update you if and when any such thing happens.