Official Statement Explains What Happens to Easypaisa After PTCL Purchase

Digital financial services provider Easypaisa has issued a statement following the sale of Telenor Pakistan to PTCL.

Easypaisa has assured its customers that Telenor Pakistan’s sale will not impact its operations since it isn’t part of the transaction.

“In response to recent news about Telenor Pakistan’s sale, we want to assure our valued customers that our operations remain unaffected. Telenor Microfinance Bank (TMB) and its flagship platform, Easypaisa is not part of this transaction. Your deposits are completely secure, and this development will not impact them in any way,” it said in a tweet on X.

In response to recent news about Telenor Pakistan's sale, we want to assure our valued customers that our operations remain unaffected. Telenor Microfinance Bank (TMB) and its flagship platform, easypaisa is not part of this transaction. Your deposits are completely secure, and…

— easypaisa (@easypaisa) December 17, 2023

It said, “Telenor Microfinance Bank (TMB) & easypaisa is an independent financial institution, licensed and governed by the State Bank of Pakistan (SBP). We are a joint venture between Telenor B.V. and Ant Group, who are committed shareholders, dedicated to the Bank’s ongoing transformation from a Microfinance Bank to a Digital Retail Bank, subject to regulatory approvals”.

“We urge our customers to disregard any unsubstantiated rumors and continue to trust in our commitment to maintaining the highest standards of service and security. Your confidence is valued, and our operations will continue seamlessly. We remain committed to working towards our mission of a financially inclusive, digital Pakistan,” it added.

This comes in the wake of recent rumors making rounds on social media and scam messages that claimed an uncertain situation regarding Easypaisa’s financial health post-sale of Telenor Pakistan, urging customers to withdraw their money. Notably, a similar message was circulated weeks ago claiming that U Microfinance Bank (UBank) was going bankrupt due to massive losses.

Not to mention, at the time UBank had dismissed the reports by terming them inaccurate. Later on, UBank reported a strong capital basis in its half-yearly reports for January-June 2023.

It appears that a repeat telecast of the UBank-like message for Easypaisa/Telenor Bank could have one single origin, someone who would wish for the ruin of UBank or Easypaisa; maybe some competition or a distressed market player.

Last week Pakistan Telecommunication Company Limited (PTCL) announced the acquisition of 100 percent of Telenor Pakistan ($495 million on a cash-and-debt-free basis). The PTCL Group had been engaged in discussions with the Norwegian operator for the acquisition of its Pakistani arm for some time. This possibility was first hinted at by the Telenor Group CEO in 2022, when he indicated the group’s shift in focus from Asia to Europe and the potential divestiture of its Asian assets, including Pakistan.

The combined operations and customer base of Ufone and Telenor Pakistan will ultimately result in the largest cellular operator in Pakistan, dethroning Jazz, which has enjoyed the leadership position in the cellular market of Pakistan for over a decade and a half.