Etisalat is reviewing its exposure to PTCL as part of a broader portfolio optimisation exercise. This evaluation comes at a time when PTCL has recently returned to profitability, particularly after acquiring Telenor Pakistan.
As of early Tuesday, PTCL is 62% owned by the government of Pakistan and its entities, while Etisalat holds 26% and management control. The UAE’s review of its investments appears influenced by global economic uncertainty and regional geopolitical tensions.
Notably, Etisalat acquired PTCL in 2005 for $2.6 billion. However, it has withheld $800 million due to unresolved property transfer issues. Diplomatic sources indicate that economic ties between Pakistan and the UAE remain stable despite the ongoing review.
Key facts:
- PTCL has recently returned to profitability after acquiring Telenor Pakistan.
- The UAE has exited OPEC, suggesting a broader strategic reassessment of its global commitments.
- Pakistan repaid approximately $3.5 billion to the UAE to bolster its foreign exchange reserves.
The final decision regarding Etisalat’s potential exit from PTCL is still pending. An unnamed source stated, “This is part of a wider internal review being undertaken by Gulf investors across multiple jurisdictions.” Meanwhile, a spokesperson for PTCL commented that they are unaware of any plans for shareholder changes at this stage.
Strategic autonomy remains the UAE’s enduring choice, as noted by Anwar Gargash. The current review reflects routine global investment management practices rather than any breakdown in bilateral cooperation.
