Multinet,
Telenor Pakistan Seal USD 40 Million Contracts
Islamabad, December 2006:
Multinet Pakistan (Private) Limited (Multinet) sealed a 20-year capacity
contract with Telenor Pakistan. The capacity contract will enable Telenor
to utilise fibre optic cable pairs and associated co-location facilities
on Multinet Pakistan’s national long haul optical fibre transmission
network (“Project Ittehad”). Multinet and Telenor also signed
a service contract which entails maintenance and associated services
from Multinet for the duration of the 20-year contract. The aggregate
amount of both the capacity contract and the service contract is estimated
to be USD40 million.
The first of its kind in Pakistan, the “Indefeasible Right
of Use” (“IRU”) contract will enable Telenor to
have virtual ownership of four cores of optic fibre in the long haul
network. The contract between Multinet and Telenor will also enable
Telenor to manage its bandwidth and traffic requirements with low
variability in cost and with significant savings.
The exchange of signed documents was witnessed by the Malaysian Minister
of International Trade and Industry, Datuk Seri Rafidah Aziz. Multinet
is a subsidiary of Telekom Malaysia Berhad (TM), through its investment
arm, TM International Sdn Bhd.
Project Ittehad is a 4,100 km fibre optic backbone connecting 107
cities across Pakistan – the first backbone project to be launched
after Pakistan Telecommunication Co Ltd’s long haul network
was completed in 1996.
“Multinet is proud to play a key role in taking Telenor’s
network to reach more Pakistanis. We are fully committed towards supporting
Telenor in establishing leadership in Pakistan, as well as retaining
its competitiveness in the future.”
“We are confident that with our strong local presence and in-country
technical and rollout expertise, we will be able to meet Telenor’s
aggressive timelines as well as make sure that this project exceeds
Telenor’s high expectations,” said Adnan Asdar, Chief
Executive Officer of Multinet.
Mr Tore Johnsen, CEO and President of Telenor Pakistan, said that
this contract was an indication of Telenor’s commitment to the
Pakistani customer.
“We have confidence in Multinet’s capability and rollout
programme. With this contract in place, Telenor Pakistan will ensure
guaranteed service and will not be dependent on a third party because
the fibre optic is wholly dedicated to us.”
Tore added that another benefit of Telenor Pakistan’s partnership
with Multinet lies in the access that Telenor will enjoy to international
bandwidth via SMW-4. Multinet’s global access to SMW-4 &
other cable systems is by virtue of its parent company Telekom Malaysia
Berhad’s (TM) partnerships in several cable systems. The deployment
of this project has already started and delivery is expected to start
within two months.
Meanwhile, TM International Sdn Bhd Chief Executive Officer, Mr Yusof
Annuar Yaacob who witnessed the signing reiterated the importance
of the contract stating that it is the first IRU done in Pakistan.
“Telenor is a significant mobile operator with investments
throughout the world and is a major upcoming cell phone operator in
Pakistan; we at the parent company are very happy that Telenor has
chosen Multinet as its partner of choice.” said Yusof.
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