VEON has announced the successful completion of all regulatory approvals required for its landmark partnership with Engro to pool and manage telecommunications infrastructure assets in Pakistan. Initially unveiled on December 5, 2024, this strategic alliance aims to enhance infrastructure efficiency and accelerate digital investments, supporting Pakistan’s national digital transformation agenda.
Under the agreement, VEON’s infrastructure assets, held through Deodar (Private) Limited—a wholly owned subsidiary of VEON via Pakistan Mobile Communications Limited—will be transferred to Engro Connect, an Engro subsidiary, through a formal scheme of arrangement. The deal has obtained necessary clearances from key regulatory bodies including the Competition Commission of Pakistan, the Pakistan Telecommunication Authority, and the Islamabad High Court. The scheme and related settlements are anticipated to be finalized by June 2025.
Financially, Engro will pay Jazz approximately USD 188 million and guarantee repayment of Deodar’s intercompany debt amounting to USD 375 million. Jazz, VEON’s digital operator, will continue leasing the pooled infrastructure from Deodar under a long-term agreement, ensuring uninterrupted provision of nationwide mobile voice and data services.
Leadership Perspectives
Kaan Terzioglu, VEON Group CEO and Chairman of Jazz’s Board, highlighted the strategic value of the deal: “This landmark agreement will accelerate Jazz’s transformation into an asset-light services company, unlocking further growth potential for both Jazz and Engro. It sets a new standard for how efficient infrastructure investment can fuel digital growth in frontier markets.”
Jazz CEO Aamir Ibrahim added, “We are progressing to close this pioneering partnership with Engro, marking a key milestone in our ServiceCo transformation. This collaboration allows Jazz to continue delivering world-class digital solutions while leveraging an asset-light model, with Engro as a trusted infrastructure partner.”
Engro Holdings CEO Abdul Samad Dawood expressed optimism on Engro’s expanding role in Pakistan’s digital future: “Technology and connectivity are fundamental to prosperity and progress. This partnership reinforces telecom infrastructure as a strategic vertical for Engro. We are committed to expanding access, empowering communities, and future-proofing infrastructure that will support growth for generations. This moment epitomizes our mission: ENabling GROwth.”
