CCP grants approval for PTCL, Telenor merger
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KARACHI: The Competition Commission of Pakistan (CPP) has given approval for the merger of PTCL and Telenor Pakistan after a long review and discussions.
PTCL has formally submitted its commitment to comply with the conditions tied to the $400 million acquisition of Telenor Pakistan. The CCP has issued its long-awaited order on the landmark merger, pending for over 18 months.
After this merger, Ufone –Telenor Pakistan will become almost as large as Jazz, pushing Zong into third place in the country’s telecom market.
The CCP has announced strict conditions to ensure independent governance and fair competition in the merger of Pakistan Telecommunication Company Limited (PTCL) and Telenor Pakistan.
PTCL will establish a separate board of directors and management teams to ensure independent decision-making. No individual will be allowed to hold multiple positions across PTCL and MergerCo simultaneously.
Officials from one entity will not be permitted to serve on the board or management of the other entity for at least three years. Etisalat will ensure professional and competitive governance of both PTCL and MergerCo. PTCL and MergerCo must submit details of all related-party transactions to the Tariff Policy Regulator (TPR) on a quarterly basis.
In case of non-compliance, the companies may be notified by the Commission. On request, the Commission may issue compliance directives to the TPR under defined conditions.
Chairman CCP Kabir Sidhu said that merger of PTCL and Telenor will be completed within one year.Both companies are required to establish compliance departments to implement CCP’s conditions.
Any violation of conditions must be addressed promptly and effectively, with reports submitted to the Commission.
the company has agreed to a business plan outlining fresh investment in Pakistan. The telecom maintained that it fully cooperated with the Commission throughout the review process and remains committed to advancing the acquisition in complete alignment with the directions of all regulatory bodies on this.
Moreover, the consolidated entity will strengthen nationwide connectivity, drive innovation, and support the government’s vision of a digitally empowered Pakistan, PTCL added.
The CCP has conducted one of the most exhaustive merger reviews in its history, applying the Substantial Lessening of Competition (SLC) Test to determine whether the transaction would distort market dynamics.
Between September 2024 and August 2025, the CCP held at least five open hearings and several confidential sessions with PTCL, Telenor, and other stakeholders.
Despite repeated delays, incomplete disclosures, and technical complexities, CCP pressed the parties for clarifications until it received the necessary information.
PTCL said in its statement that it is grateful to CCP for successfully concluding Phase II of the review of its acquisition of Telenor Pakistan.
“We highly appreciate the Commission’s thoroughness in safeguarding the future outlook and long-term sustainability of Pakistan’s telecom sector,” it said adding we are especially thankful to our customers, partners, and the wider telecom community who have been eagerly looking forward to this historic announcement.
It said the consolidated entity will strengthen nationwide connectivity, drive innovation, and support the government’s vision of a digitally empowered Pakistan.
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