PTCL Hints a Celco Buyout

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.

Tech reporter with over 10 years of experience, founder of ProPakistani.PK

  • PTCL teri meharbani, hum to kisi dosri landline company ka intezar ker rahay hain ab teri meharbani cellular quality main lootmar aur nakami quality ka raaj na phela dena.

  • Ufone has recently hired a top guy from Zong. May be they are planning to acquire zong, just a guess.
    Between they got synergies like cheap ads, penetration in rural pakistan :)

  • i totally agree.rates are going down. quality is going down as well.
    best and easiest way out is to put a tax on every outgoing minute (e.g 6 paisa per minute) and sms.
    but this should be done on the condition that overall taxes are decreased as well.

    in this way those who will use more will pay more and quality will be improved as well

  • all this problem started due to presence of zong which appeared as 6th operator in Pakistan when other companies had crossed 20 million customer mark.

    to make customers, zong gave offers that were realistically not possible compelling other operators to do the same

  • These ppls from UAE can’t run PTCL. Fall of profit is only because they are in-competent.

    Our greedy rulers have sold PTCL to these because of their personnel commission, otherwise who can sell a profitable orgnaization like PTCL. Only our “SIKHS” can do it.

    [Comment Edited]

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