Engro Connect Acquires Jazz Towers for $560M

In a landmark move, Engro Connect has acquired Jazz’s entire telecom tower portfolio, comprising 10,500 sites, for $560 million. The deal, approved by regulators and courts, marks a significant shift in Pakistan’s telecom industry. Jazz, the largest operator in the country, has sold its subsidiary Deodar Digital Infrastructure but will continue paying rent to Engro Connect for cell site usage.

The transaction highlights a growing trend where telecom companies divest tower management to specialized infrastructure firms, known as towercos. These companies streamline operations, manage taxes, power supply, and security, while allowing multiple operators to share the same towers, optimizing network coverage.

Currently, Pakistan has approximately 50,000 towers, with Engro Enfrashare and EDOTCO Group managing 4,000, and Saudi-owned TAWAL Pakistan entering the market. Telecom operators initially invested heavily in towers to expand coverage, but the focus has shifted towards digital services. Jazz CEO Aamir Ibrahim emphasized the company’s commitment to fintech, cloud, entertainment, and digital health, aligning with a digital-first strategy.

As towerco adoption rises, experts anticipate further consolidation in urban areas and expansion into underserved regions. The industry’s evolution signals a future of improved infrastructure, cost efficiency, and enhanced connectivity across Pakistan.