Ufone and Mobilink sign tower sharing deal
Egypt-based Orascom Telecom’s Pakistani unit Mobilink has unveiled a new agreement related to tower sharing. The announcement spurred continued positive gains in the local Egyptian Stock Market for the telecom provider. Analysts said that although the deal takes place in Pakistan, it is likely to boost OT’s liquidity to continue its investment efforts in Egypt.
“At first glance, it appears this has no impact on the Egyptian market, but people need to understand how this impacts the local market here in Egypt,” said Hossam Moataz, a securities and technology expert in Cairo. “This gives OT more moving power to continue its positive gains in the stock market and gives them more confidence moving forward.”
According to a press statement from OT, the new deal between the two mobile companies is “part of a wider-ranging effort by the regulator, the Pakistan Telecommunications Authority (PTA) and the government to encourage mobile voice operators to operate more efficiently while reducing their respective carbon footprints.”
Mobilink’s CEO Rashid Khan said “This alliance is mutually beneficial and will also facilitate us to better align ourselves with our strategic initiatives and become greener. This will further enhance Mobilink’s coverage footprint, already the widest, hence bringing more value to the customer, which is our top priority.”
Moataz added that in Egypt, telecom companies have yet to truly look for greener options and if successful, OT could “help bring this new concept to the local market.”