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BMA Capital takes pride in PTCL sell-off deal

 

KARACHI (July 01 2005): The country's premier investment banking firm, BMA Capital, successfully advised Etisalat, the telecom giant of Middle East, on the privatisation of Pakistan Telecommunication Company Ltd (PTCL).

Upon finalization of the deal, PTCL's privatisation would generate $2.598 billion for the Government of Pakistan, making it the largest privatisation in Pakistan's history, a press release of BMA said on Thursday.

It is also the largest foreign direct investment (FDI) inflow ever in Pakistan and the largest telecom M&A deal in Asia since 2003. The BMA, which has managed several landmark transactions in Pakistan and now heads the league table for privatisation advisory in Pakistan, having advised on nearly 70 percent of all privatisation by value in Pakistan, it added.

It said that deal represents a watershed in Pakistan's economic progress and a major vote of confidence in the government's privatisation program by the international investment community, as Etisalat agreed to pay $1.96 per share for 26 percent strategic stake with management control of PTCL.

According to the press release, BMA Capital CEO Farrukh H. Khan said: "We are proud to have been involved in one of the most important transactions in nation's history.

The transaction underscores the BMA Capital's position as the leading investment banking firm in Pakistan, and one of the first corporate members of the Karachi Stock Exchange (KSE).

The BMA recently concluded a 50/50 joint venture agreement with Abraaj Capital, the largest private equity firm of the Middle East, it added.-PR

Source: Business Recorder (01 Jul 2005)