ISLAMABAD: The much awaited PTCL–Telenor merger likely to be conditionally approved by The Competition Commission of Pakistan (CCP). After the merger this will be the biggest telecom merger in the country’s history.
The sources verified that PTCL’s Policy Board, during their recent meeting at the PTCL headquarters regarding possible PTCL-Telenor Merger , approved the tough terms and conditions laid down by the CCP in its USD 400 million takeover of Telenor Pakistan. The move paves the way for the final CCP order on the transaction, which has been under the regulators’ watchlist for over 18 months.
Detailed Examination Process
The CCP conducted what government officials described the PTCL-Telenor Merger as one of the biggest merger reviews in its history, subjecting the transaction to the Substantial Lessening of Competition (SLC) Test to test whether the deal would damage market dynamics. The review broached several top segments, such as cellular mobile services, long-distance and international (LDI) traffic, fixed-line business, leased lines, and IP bandwidth.
Sources further added that between September 2024 to August 2025, CCP held at-least five public meeting and several behind the doors meetings on PTCL-Telenor Merger with the officials of PTCL Telenor and other stakeholders to review broad spectrum data, from regulatory accounts to interconnection agreements and business projections, before taking its decisions.
In the face of incessant delays and corporate demands to speed up clearance, CCP Chairman Dr. Kabir Sidhu reiterated only full transparency and process PTCL-Telenor Merger . Even a stakeholder’s attorney at one stage claimed CCP had become “functus officio” on the issue, but the Commission consistently rejected this contention, reiterating statutory timeliness was being adhered to in public interest.
Global Comparisons
The prolonged review points to global precedents for big telecommerger deals. The €17.5 billion Vodafone and Three UK merger took almost 23 months to be reviewed, while the United States’ Sprint/T-Mobile merger was investigated for 22 months. For this purpose, CCP’s review of 18 months is comparable to global regulatory practice on deals with large market impacts.
Potential Impact and Safeguard
Experts have opinions that the deal will produce highly consolidated mobile operator, merging PTCL’s Ufone with Telenor Pakistan — which would raise concerns regarding a market monopoly. To counter such threats, CCP would place stringent conditions on price, interconnection process, sharing of infrastructure, and treatment of rivals fairly.
If effectively applied, the merger would bring in higher efficiencies, improved quality of service, less duplication of infrastructure, and considerable cost savings to Pakistan’s telecommunication industry.
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Test of Regulatory Independence
The PTCL–Telenor transaction has emerged as a test case for CCP independence and effectiveness as a regulator. In leading through rigorous testing of a politically and commercially delicate deal amidst external pressures, the Commission has cemented its reputation as a champion of honest competition and consumer welfare in Pakistan’s economy.
