China Mobile May acquire Telenor Pakistan

There are reports and rumors over the Internet as several news outlets reported that Norwegian telecom group might be in talks to sell its Pakistani subsidiary to China Mobile (Zong) which has been becoming popular in the country more recently.

Telenor Pakistan currently has over 20 Million user base in Pakistan and it’s not clear what has led these talks to begin between Telenor and China Mobile to sell its stocks, one possible reason could be the law and order situation which has been deteriorating for past couple of years.

However none of the sources at both companies have confirmed these rumors and they have denied to comment on the rumors either. If both Telenor and China Mobile (Zong) are able to reach a deal it would add up to 26 Millions users or 28% of the Market share which could place China Mobile in a better place to compete with Ufone and Mobilink the market leaders in Pakistan Telecom Industry. China Mobile began its operations in Pakistan in late 2007 by purchasing the stocks of Paktel worth $460 Millions.

Telenor on the other hand is seemed to be more interested in expanding its operations in India and lately they are reported to have purchase 67% stake in Unitech Wireless subsidiary Unitech Ltd India.

[via: DAWN - Celluar News ]