Easypaisa Parts Ways with Telenor Pakistan

Easypaisa, Telenor Pakistan’s Mobile Financial Services Division that it established back in 2009, is parting ways with the mobile operator, we have checked.

According to the information made available to ProPakistani, Easypaisa — which was Telenor Pakistan’s brand or product till now — is being transferred to Tameer Bank.

Not to mention, Tameer Bank was fully acquired by Telenor Group (not Telenor Pakistan) a few months ago.

This change is vital in many ways. For instance, now Easypaisa’s balance sheets will be visible under Tameer Bank and not Telenor Pakistan. Similarly, Easypaisa’s reporting and day to day operations will be managed by Tameer Bank and not Telenor Pakistan.

This whole equation means that Easypaisa will have nothing to do with Telenor Pakistan after the restructuring that is still under way.

Ali Chaudhry, the President & CEO of Tameer Bank, will also head Easypaisa and report directly to Telenor Group.

Once done, Easypaisa will have its own digital agency, PR agency and all sorts of vendors that it may need for running day to day operations.

Easypaisa staff, however, may keep using Telenor Pakistan’s office space in some cities at least; but Telenor Pakistan will charge Easypaisa for it, the same way that it does for other sister concerns, such as Telenor LDI for instance.

Telenor Pakistan’s deep integration with Easypaisa will remain intact for now. However, both entities will start charging each other for services that they would obtain down the line.

While we don’t have confirmation, there are murmurs that Tameer Bank will also be renamed to Telenor Bank. This is something that may require regulatory approvals and may take some time before its announced.

Experts say that Easypaisa’s departure from Telenor Pakistan can be looked at in many ways. While it may complicate a lot of things for both the business units, the move will actually help Telenor group in the long run.

Up for Sale?

While its too early to say, we have reliably heard that Alibaba — along with getting ahold of an ecommerce company in Pakistan — is also considering to acquire a payment gateway. If this happens, the separation of Easypaisa with Telenor Pakistan as an independent unit may start making a lot of sense.

While Easypaisa has covered a lot of distance since its launch and has revolutionized payments in Pakistan with introduction of array of commercial services, experts say that more than 98% of revenue potential in Pakistan’s digital payments is still unexplored.

For instance, Pakistan still lacks an affordable native payment gateway that could be integrated with global payment systems,

With estimates suggesting that Pakistan’s ecommerce market is set to grow beyond $1 billion within the next few years, Pakistan currently holds no payment gateway that allows under 10 minutes integrations (like it is available elsewhere in the world).

This is the kind of potential that groups like Alibaba would be eyeing and Easypaisa could be a perfect hunt for the purpose. With the latest developments, Easypaisa has prepared itself for any such adventures in next few months.

Tech and telecom reporter with over 15 years of experience, he works as founder of ProPakistani.PK

  • Or may be Telenor making its way to possible merger with Zong @aamir7????


        • You can disagree me with logics. You have freedom of speech in any way, and same goes to me.
          And you may come up with a genuine ID. Don’t try to be Phupho here.

          • zafar Bro apne off topic baat ki hai jab keh discussion tu banks k accquition ki chal rahi thi .Main apky comments shoq se parhta hon lekin 2009 k baad telenor aur zong k merger ki kahen discussion nahi hui.donu networks ki positions strong hai donu ne 4g bhi launch kia hua hai agar telenor stay na karta tu 2016 mein 4g license na leta.ufone aur zong ki merger ki abhi bhi kuch web sites par discussion chal rahi hain lekin abhi tak donu operators ne is topic par koi baat nahi ki.lets wait and watch next game changer in telecom sector.tab tak ap yeh parhen apko is link se kafi questions k jawab mil jayengay.jahan tak meri id ki baat hai main apna real name and identity show nahi kerna chahta.na tu main tech blogger hon na telecom expert.

            • Thats a better comment. Now let me tell you that there iare strong rumours in market regarding Telenor-Zong. And my comments are based on these reports. Even aamir sahib didn’t fully denied my question.
              And merger doesn’t always mean full acquisition like Warid. Zong and Telenor might become 50% partner of a merged companye. Or Zong might pay some amount to Telenor to get 10% extra shares. There are lots of possibilities of a merger to counter big giant Jazz. Or there might be no merger at all. Nothing in sight right now.

              And rumours regarding Ufone are fake because Ufone has 74% Govt stake and cannot be merged to any company. Even if Etisalat sold its shares to any current Pakitani Telecom company.

              • Bro main apki baat se agree nahi krta merger aur accquition mein fark hota hai jazz aur warid ne ikathay business start kia hai abu dehbi group ne usko sale nahi kia.Baharhal lambi discussion aur bhut c baten .Next kisi revelent post mein discuss karengay.InshaAllah.

          • Strange! Whenever there is a topic about Telenor you come up with you baseless arguments. Please first learn how to engage in an intellectual business discussion. Your caliber is shown by the insults you throw at people!
            I am sure you consider yourself an online Warrior :). Keep it up.

    • May be following practice in India, sell its business to remaining operators in Pakistan.

  • When Alibaba comes to Pakistan, it will bring Ali pay along with it..So setting it up for acquisition doesn’t make much sense.. The segregated entities might be structured for more control and remaining under accepted risk levels.. Similar to multiple models of business available today..

    • Alibaba has paytm in India, why not acquire something in Pakistan? But then again… Its just a hunch.

      • I remember reading an article where an executive from Alibaba stated that PayTm has more potential for growth in India than themselves in China because of its push for ewallets.. Easypaisa on the other hand isn’t pushing any boundaries nor currently excepted as an alternative to credit cards..i.e I can’t pay from Easypaisa to my Google play Store but I think PayTm can and hence it’s viability as an entity for acquisition.. Whereas Ali pay would be a more effective way of making customers than Easypaisa which in its current state is a vanilla payment solution acceptable by very limited vendors..

      • lol admin.. Paytm is fully-owned by One97 Communications, an Indian company.
        Paytm founder Vijay Shekhar Sharma. Vijay Shekhar Sharma, would maintain a controlling share of 51% in PPB, while One97 Communications would have a 49% stake.

        • A. Good for you.
          B. Everyone knows that PayTm is a “Strategic Partner” for Alibaba and not a subsidiary.
          C. The chain relates to AliBaba’s possible acquisition of Easypaisa.
          D. Upto to me writing this very comment, Alibaba is busy making deals with shareholders for a bigger stake in the PayTm Marketplace and also several other aspects of One97.. So let’s wait and watch where the money ends..
          E. Lol admin seems a bit of lazy writing, prep it up next time..

  • tameer is own by telenor and now easypaisa going to tameer bank basket .make no difference to telenor.its all about saving taxs on finalcial transactions. All big companies do same thing by establishing their own bank to avoide taxes

  • if telenor leaves pakistan it wil b a death blow to pak telecom sector….zong jazz and ufone will have monopoly….

    • Monopoly cant not be played by all players, neither Telenor execution will effect it.

    • Jazz increased MBB rates after Zong, all companies are charging 15 paisa call setup charges, Rs 3 for help line agent and few paisa’s for balance check. Isn’t monopoly already there?????

  • Easypaisa or any mobile money services is always shown on banks balance sheet, the brand is always a bank brand and service, customers are always bank customers regardless of their association with telco, all courtesy to bank led model in Pakistan. Even if telco owns partial or full ownership the custodian of license, data and customers will always be with banks. The reporting line will also be under bank either dotted or solid as part of regulatory conditions. Telcos gets share in revenues based on cost. Functions are distributed based on respective strengths etc. And no Easypaisa will not be sold to anyone that’s insane gossip with possible malicious intent to discourage easypaisa users, easypaisa still is no 1 leading mobile money service.

    Your so called “experts say” analysis is extremely generalised and vague without any value. Pls explain complexity seen and especially if it will still help same parent group as per expert comment?

    And lastly if you don’t have confirmation for any of this why bother writing about it prematurely? Just cheap publicity stunt.

    If propk don’t understand something get real experts to comment or write about it instead of writing junk like this.

    • a few sane lines that are totally out of synch with the kind of reporting that this site does. “Yellow Journalism” it is. Any company can get a positive worded statement even if it is dying only by putting up a few ads for the site. And those who do not budge in, get presumed “busted” like through this article.

  • Btw Telenor Pakistan has started firing employees :/ around 30 employees from tech div are fired in last 2 weeks

  • This is typical, biased reporting. If the site knew, long before this AliBaba visit, Telenor had started consolidating its strategy in MFS. Acquisition of Tameer bank was part of the same (& reported in media). This article tries to put things as if Telenor Pakistan & Telenor group are some competing entities. For the record, Telenor Pakistan is also 100% owned by the group.

    upside: now this site can hope to get ads from Tameer Bank ;)

  • close