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Finance / Pakistan

Mobile Operators Not Quite Ready For Consolidation Yet

November 2011 | Corporate Financing Analysis

The Pakistan Telecommunication Company Limited has said that it would not rule out purchasing another mobile operator to boost the outlook of its mobile operation Ufone ahead of a 3G auction, which has been scheduled to take place in FY2011/12 (July-June). While consolidation could help stabilise the Pakistani mobile market, which has one of the lowest ARPU levels in Asia Pacific, CFW is sceptical that alternative mobile operators, all of which are backed by major international telecoms firms, are willing to give up the opportunity to participate in the industry's long-term growth potential.

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