Zong drops Warid takeover plans, Wateen unaffected by sale

8 Oct 2013

China Mobile Pakistan (CMPak), which operates under the Zong brand, has backed out of the running to take over UAE-backed rival Warid Telecom after completing a business evaluation of the proposed deal, leaving Russian-owned Vimpelcom Ltd and Etisalat vying for the cellco, the Express Tribune writes. Previously a favourite to take over the company, Zong did not comment on the reversal, but noted that it planned to invest aggressively in Pakistan in the near future.

In related news, the Pakistan Observer writes that broadband provider Wateen Telecom, which is owned by Abu Dhabi Group alongside Warid, will be unaffected by the sale of the cellco. Responding to claims that the buyer of Warid would gain indirect access to Wateen, a senior official from the latter company said that the two entities were distinct and autonomous units, adding that Wateen’s operations would not be affected by the change of ownership at Warid.