Russia’s VimpelCom owner to merge Pakistani business with Warid

MOSCOW, Nov 26 (PRIME) -- Amsterdam-based VimpelCom Ltd., the sole owner of Russian mobile operator VimpelCom, and Global Telecom Holding (GTH), together with Warid Telecom Pakistan and Bank Alfalah Ltd., Dhabi Group shareholders, have agreed to merge their Pakistani telecom businesses, VimpelCom Ltd. said Thursday in a statement.

The merger of Pakistan Mobile Communications Ltd., known as Mobilink, and Warid Telecom Ltd. will see the combined entity serving 45 million customers. The transaction is the first merger in the mobile telecommunications sector in Pakistan.

“We are delighted to announce the agreement with the Dhabi Group shareholders today to combine our businesses in Pakistan…This is yet another important step in our journey to continue delivering on our strategy to transform VimpelCom Ltd. and improve our competitive position in our operating markets,” VimpelCom Ltd. CEO Jean-Yves Charlier said.

The transaction is expected to create capital expenditure and operating expenditure synergies with a net present value of approximately U.S. $500 million. The combined revenue of both companies for the 12 months to September was $1.4 billion.

“Together with continued investments, the new entity will allow Mobilink and Warid to accelerate the availability of high-speed mobile telecommunications and provide consumers and businesses with a best-in-class mobile network, more competitively priced services and wider access to enablement facilities such as mobile financial services,” the statement read.

End

26 Nov 2015