PTCL secures USD 400 million financing agreement with IFC

Pakistan Telecommunication Company Limited (PTCL) has recently finalized a financing agreement worth USD 400 million. The agreement, led by the International Finance Corporation (IFC) in collaboration with the Silk Road Fund (SRF) and British International Investment (BII), aims to support PTCL's acquisition of Telenor Pakistan and Orion Towers (Private) Limited. This seven-year financing arrangement, with a one-year grace period, was officially signed by PTCL on 27th June, 2024.

In April 2024, PTCL had informed stakeholders about the IFC Board of Directors' approval for the debt financing. Ms. Zahida Awan, Group Chief Legal Officer and Company Secretary at PTCL, emphasized the company's commitment to transparency by keeping the Pakistan Stock Exchange (PSX) informed of all developments. The Securities and Exchange Commission of Pakistan (SECP) has also been notified of this significant financial milestone.

Furthermore, in December 2023, PTCL successfully acquired Telenor Pakistan for Rs 108 billion, following a share purchase agreement with Telenor B.V. This acquisition, once regulatory approvals are obtained, will mark a pivotal moment in Pakistan's telecom industry. The recent financing agreement signifies progress in the approval process and sets the stage for future growth and development in the sector.

The securing of the USD 400 million financing agreement by PTCL, in partnership with IFC, SRF, and BII, underscores the company's strategic vision and commitment to expanding its operations in Pakistan. This milestone not only strengthens PTCL's position in the telecom market but also paves the way for enhanced services and technological advancements that will benefit consumers and contribute to the country's economic growth.