WorldCall Telecom Seeks PTCL to Aquire its Operations

Struggling with more than Rs 3 billion losses per year and debt liabilities, financial and operational mismanagement, the leadership of WorldCall Telecom is seeking an equity injection from PTCL through acquisition of major shares in the company.

In a fresh move, the board of directors at WorldCall Telecom has given a go-ahead signal to its management to enter into non-binding negotiations with Pakistan Telecommunication Limited for sale of majority of stakes in the company.

The board directed its management as it received a proposal from the PTCL in this regard following the deal with Dunya Media Group has been expired for sale purchase of major shares.

In February 2016, the telecom operator had almost finalized talks to sell out its shares to Dunya Media Group but it failed to seal any deal due to pricing issue.

Later, the company termed its deal as a rumor, upon the inquiry of Security and Exchange Commission of Pakistan (SCEP).

Though we apparently have a copy of the official letterhead related to the decision of WorldCall Telecom’s board of director, it is expected that the telecom company will not rule out the possibility of holding non-bidding negotiations with PTCL later on.

On the other hand, the acquisition of WorldCall shares by PTCL will be a challenge, because PTCL itself is struggling to regain its profitability which it made in the recent quarter with profit of Rs 1.78 billion.

PTCL witnessed losses in the year 2015, but it closed the year with profitability showing its sustainable financial soundness in the telecom industry.

In next stage, PTCL is likely to hold due diligence if both telecom companies agree to enter into deal. This will give an idea to PTCL management about how to revamp operations of WorldCall through investment or overall acquisition.

With the possible acquisition, PTCL will continue to dominate in the telecom industry through LDI and broadband service but it will depend upon its interest of acquiring stakes in WorldCall.

Talks between PTCL and WorldCall  might not end successfully, as we saw before in case of PTCL’s takeover talks with Warid.

  • Oman Tel Management first need to remove the corrupt and incapable team of World Call Pakistan before exploring such options. Only than there is a slight chance of selling or improving company’s health.

  • After using both of them and having a terrible experience with there service and methods of operations I wonder what will happen if one bad mergers with another bad company

  • after salman taseer worldcall was doomed. because after owners no one was able to take care of it.

  • The problem with many of these companies like Nayatel, Worldcall, Wateen and WiTribe is that they are targeting the rich… most of their deployments are in areas where there are wealthy individuals. However apart from Nayatel, non of the other companies were able to sell a premium service to the wealthy.
    Most of their service was below par than the already established players in the market. As most of Pakistan consist of people that are not very wealthy they do check for value for money that was simply not in these services. When the 3G and 4G licensing was approved, it was a literal death sentence to these WiMax players. The main reason was that these big operators were well established in the middle and poor classes as well where the actual market is. As these Wimax operators had no footing their, the main operators had the complete market to them… I wouldn’t be surprised to see other WiMax and nayatel operators surviving for long and merging with mainstream operators like Mobilink, PTCL or Telenor.

  • lol i wrote a whole email to World call like 5 years ago…even wrote to omantell telling them that their cutsomer service is one of the most pathetic services in the the entire country…with guys just there to drink Tea……now you have losses???… what a surprise….in the corporate world no one survives treating customers the way you idiots treat yours……i mean my friend called to ask about service and the idiot loser on the line says we do not have the required modems…i even paid for my modem in full….and World call said i had never paid for it….pathetic….useless…was bound to fail…..

  • Why this website is repeatedly spreading fake news in respect of WTL. No acquisition notice by both

    • Because WTL (mis)management team want to buy time for running their operations without paying salaries to their staff n keeping them in hope for good times coming soon………….

  • Babar Ali Syed the CEO of this company is all to blame.. His pathetic performance is like YAHOO CEO Marissa Mayer who took the multi billionaire dollar company into its now pathetic level.. For whatever reason this man is allowed to continue is beyond anyone guesses.

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