Emirati telecom giant 'mulling exit' from Pakistan’s telecom sector |
Emirati telecom giant ‘mulling exit’
• Insiders say move is part of wider internal review, not country-specific, as evidenced by UAE’s decision to quit Opec bloc• PTCL says it is not aware of any change in shareholders’ plan
ISLAMABAD: A leading business group from the Middle East is said to be in the process of reviewing its exposure to Pakistan’s telecom sector, as part of a broader portfolio optimisation exercise that could potentially lead to its exit from the Pakistan Telecommunication Company Ltd (PTCL).
Background discussions with sources in the diplomatic and financial sectors suggest that Etisalat’s plans are still at the preliminary assessment stage, with no final decision taken as yet.
Insiders say the UAE-based telecom giant had indicated that the review is driven by a combination of global macroeconomic uncertainty, regional geopolitical tensions, and evolving capital allocation strategies among sovereign-linked investors.
“This is part of a wider internal review being undertaken by Gulf investors across multiple jurisdictions. It is not specific to Pakistan, nor is it indicative of any immediate divestment decision,” an official privy to the development said.
There was no official word on the potential move from either UAE stakeholders, or the finance division of the government of Pakistan. Dawn approached Etisalat officials via email and over the phone earlier this week, but did not receive a response.
When asked for comment, PTCL told Dawn its long-term business plan had recently been approved by its board and shareholders. “PTCL is not aware about shareholders’ plan of [any] change at this stage,” the company said in its statement.
For Pakistan, PTCL remains a strategically important entity, despite its mixed-ownership — the government and its entities still hold around 62pc stake in it, although 26pc shares and management control is in the hands of the Gulf telecom........