Industry Updates

'SAMENA Daily' - News

Upcoming in-market consolidation in Pakistan's telecom sector

Vimpelcom and Abu Dhabi Group, the parent companies of cellcos Mobilink and Warid, respectively, have agreed a merger deal, the Daily Times writes, citing unnamed sources familiar with the matter. According to the sources, the merger is intended to give Mobilink access to Warid’s 4G network and spectrum resources. Warid would continue to operate independently, however, and the Abu Dhabi Group would retain a 20%-30% stake in the cellco. The sources also claimed that Mobilink has already completed due diligence and that a sale agreement will be signed by the end of the year.

According to TeleGeography’s GlobalComms Database, Mobilink is Pakistan’s largest cellco by subscribers with 33.4 million users at end-June 2015, equating to a market share of 29.0%. Warid, meanwhile, represented 8.5% of the market at that date with 9.8 million users, but was one of just two providers with permission to offer LTE services – the other being Chinese-owned Zong.



Source: http://www.dailytimes.com.pk/business/02-Oct-2015/mobilink-warid-agree-over-in-market-consolidation

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