PTA blocks Ufone-Telenor rebranding , halts ‘e&’ launch amid legal hurdles

The Pakistan Telecommunication Authority has officially blocked Pakistan Telecommunication Mobile Limited from launching or modifying any brand identity following its merger with Telenor Pakistan, effectively putting the proposed rebranding to "e&" on hold until all legal formalities are completed .

The Pakistan Telecommunication Authority has officially blocked Pakistan Telecommunication Mobile Limited from launching or modifying any brand identity following its merger with Telenor Pakistan, effectively putting the proposed rebranding to “e&” on hold until all legal formalities are completed .

In a directive issued on July 2, the regulator instructed PTML to notify the authority once the merger becomes legally effective and before initiating any branding or commercial activities . The PTA made it clear that no rebranding or promotional campaign can proceed until all legal obligations, including acknowledgment or notification from the Securities and Exchange Commission of Pakistan, have been fulfilled .

The move comes after the Islamabad High Court approved the merger of PTML and Telenor Pakistan on June 24 . Following the merger, the combined entity is reportedly considering replacing the long-standing Ufone brand with “e&”, the global identity of its UAE-based majority shareholder, Etisalat . However, the proposed rebranding has raised questions about the cost of changing the identity of a company in which the government holds a significant stake .

A senior official of the IT Ministry told Dawn that giving the brand name “e&” to the merged company could face serious legal objections, as it would still be a subsidiary of PTML, a state-owned enterprise. The official noted that this could amount to a copyright violation of an international brand, or the merged company would have to pay a royalty fee to Etisalat . It also emerged that PTCL was already paying profits to the UAE-based company despite the group making losses for a long time .

The PTA reiterated that PTML should not launch or modify any brand name or begin any campaign until all required legal formalities are completed, and directed the company to furnish confirmation to the authority before proceeding further in the matter . As the telecom regulator’s position remains clear, the future of the “e&” brand in Pakistan hangs in the balance, with the company now required to complete all legal formalities before any commercial rollout can proceed .