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Mobilink, Warid announce merger

2015-11-26 09:08:00| Telecompaper Headlines

(Telecompaper) VimpelCom and Global Telecom Holding (GTH), Warid Telecom Pakistan and Bank Alfalah (Dhabi Group shareholders), have agreed to merge their Pakistan telecom businesses. The merger of Mobilink and Warid Telecom will create an entity that will serve 45 million customers and be in a better position to develop high-speed mobile networks. The transaction is the first merger in the mobile telecommunications sector in Pakistan. VimpelCom and the Dhabi Group shareholders have agreed a clear corporate governance structure. The board will consist of seven directors, of whom six will be nominated by VimpelCom and GTH and one nominated by the Dhabi Group shareholders. Upon completion, Mobilink CEO Jeffrey Hedberg will become the CEO of the combined business and Mobilink's CFO Andrew Kemp the new CFO. The transaction is expected to create capex and opex synergies with a net present value of USD 500 million. The combined revenue of both companies for the 12 months to September was USD 1.4 billion.

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Category:Telecommunications

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