Telenor Group has finalized the sale of Telenor Pakistan to Pakistan Telecommunication Company Limited (PTCL) due to challenging business conditions in the country. The sale, valued at NOK 5.3 billion on a cash-and-debt-free basis, was completed following the announcement on December 14, 2023. Telenor confirmed the valuation at NOK 5.4 billion, factoring in currency rates as of September, with an additional cash flow of NOK 0.9 billion since the transaction announcement.
Amid economic uncertainty and political instability, Qatar-based Al Thani Group has decided to exit Pakistan. The group’s divestment of a 49% stake in the Port Qasim Power Project, a significant component of the China-Pakistan Economic Corridor (CPEC), was prompted by outstanding receivables exceeding PKR 288 million. Al Thani Group expressed dissatisfaction over payment delays by the Pakistan government and cautioned about potential operational disruptions in case of payment defaults.
The departure of Al Thani Group follows a series of exits by foreign companies from Pakistan in recent times. Factors such as Pakistan’s financial challenges, PKR devaluation, and mounting dues compelled Shell Petroleum to leave the country, followed by French energy giant TotalEnergies. Adnan Sheikh, Assistant Vice President at Pak Kuwait Investment Company, expressed concerns over TotalEnergies’ decision, highlighting that Pakistan is no longer a primary market for the company. These exits have raised alarms as Pakistan grapples with economic and political turmoil.
