Pakistan State Oil (PSO) intends to take part in the initial round of bidding for Telenor’s activities in Pakistan and has expressed interest in acquiring the telecom company’s business there. Before placing a bid on Telenor Pakistan and its subsidiary, Easypaisa, the PSO board of directors has approved, giving the go-ahead to satisfy the essential requirements. The operator is working with Citigroup Inc. and will soon launch a first-round bid solicitation process for the company, which may fetch up to $1 billion.
Middle Eastern and Asian strategic purchasers with established operations or enterprises in Pakistan are anticipated to submit offers, while the PTCL Group has expressed interest in buying the management and operations of Telenor Pakistan. But, there is no assurance that the ongoing discussions will lead to a purchase.
After integrating its operations in Thailand, Telenor Group, which has telecom businesses in nine nations around Europe and Asia, is now turning its attention to European markets. If PTCL is successful in acquiring Telenor’s domestic operations, they may merge Telenor with Ufone, the cellular division of the PTCL Group, in Pakistan.
PSO’s decision to enter the telecom industry comes after Telenor Group shut down its businesses in Indonesia, India, and Burma. With a 29% market share, Telenor Pakistan is currently the second-largest mobile provider in the nation. The sale of the company can cause more consolidation in the Pakistani telecom industry.
