Telenor Towers Worth More Than Entire PTCL Acquisition Price, Say Industry Sources

Date:

The long-delayed PTCL–Telenor acquisition has finally received conditional approval from the Competition Commission of Pakistan (CCP) on October 1, 2025. The CCP imposed conditions to safeguard competition and ensure that potential efficiencies actually benefit consumers.

Read More: CCP Warns PTCL-Telenor Merger Could Be Revoked Over Anti-Competitive Concerns

As disclosed earlier, PTCL negotiated the deal at an enterprise value of Rs108 billion on a cash-free, debt-free basis, funded entirely through external borrowing. On June 27, 2024, PTCL announced a US$400 million (seven-year) financing facility led by the International Finance Corporation (IFC), along with Silk Road Fund (SRF) and British International Investment (BII). The company has not revealed key terms such as pricing or any conversion clauses.

PTCL reported Telenor’s EBITDA margin at 43% on Rs112 billion in revenue, implying an EV/EBITDA multiple of 2.25x—a figure that analysts say significantly undervalues Telenor’s tower portfolio. Telenor owns 7,500 towers and operates across 13,000 sites.

For comparison, Engro Holdings recently acquired 10,617 towers from Veon (Jazz) at an enterprise value of US$563 million, or about US$53,000 per tower. Based on this benchmark, Telenor’s tower assets alone could be worth around US$397 million (Rs112 billion)—nearly equal to PTCL’s entire acquisition cost.

Industry observers question whether PTCL’s debt-funded deal truly offers value for shareholders or simply adds financial strain. Moreover, experts note that Telenor’s towers differ structurally from Jazz’s, and while tenancy ratios may be comparable, the valuation gap raises transparency and governance concerns.

Abbsi
Abbsihttps://www.taazataren.com/
Abbsi is a contributing writer at TaazaTaren, covering technology, business, and trending news with a focus on accuracy and clarity.

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