Regulation

Pakistan government reportedly halts proposed rebrand of merged Ufone-Telenor entity

Pakistan government reportedly halts proposed rebrand of merged Ufone-Telenor entity

The Pakistani government has reportedly halted plans to rebrand the merged Ufone-Telenor Pakistan business as "e&" while it reviews the legal authority behind the proposed name change.

According to local publication Business Recorder, the move follows concerns within government over whether the Ufone board had the authority to approve a new corporate identity for the merged operator before all legal and regulatory requirements surrounding the merger had been completed.

The proposal would see the merged operator adopt the "e&" brand, aligning it with UAE-based parent e&'s global identity. However, the rebranding has reportedly raised questions over the removal of "Pakistan" from the operator's corporate identity and whether the decision complies with corporate governance requirements.

The Ufone board, which includes government-appointed directors, approved the proposed branding despite the board of parent company Pakistan Telecommunication Company Limited (PTCL) having previously deferred the proposal, the report said.

The government is now reportedly considering seeking a legal opinion from the Law Division to determine whether the subsidiary's board has the authority to approve the branding of the merged company ahead of the completion of the merger process.

If the matter is referred to the Law Division, the branding exercise is expected to remain on hold until a legal opinion is issued.

The issue has also prompted wider debate over governance at Pakistan's state-owned enterprises, particularly the role of government-appointed board members in overseeing strategic decisions.

The proposed rebranding follows PTCL's acquisition of Telenor Pakistan and the integration of the two operators, creating one of the country's largest mobile providers.

While the Pakistan Telecommunication Authority (PTA) approved the proposed "e&" brand name in principle in June, the regulator instructed the company to notify it once the merger is legally completed and before launching any commercial marketing campaign. A subsequent letter issued in July reiterated that the branding could only proceed after the amalgamation had taken legal effect.



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