Engro Deodar

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Engro Corporation (“Engro”), a business conglomerate and a longstanding strategic client of IFC in Pakistan, plans to expand its tower business through a targeted acquisition. Engro’s tower business is managed by Engro Enfrashare (“Enfrashare”). Enfrashare is a wholly owned subsidiary of Engro Connect (“E-Connect”), which is in turn fully owned by Engro. Enfrashare is the largest independent tower operator in Pakistan with over 4,000 towers. Engro has entered into an Amalgamation Agreement with Pakistan Mobile Company Limited (“PMCL” or “Jazz”) through which PMCL’s tower assets housed under its wholly owned subsidiary, Deodar Private Limited (“Deodar”) will vest into E-Connect for a total consideration of US$ 562.7 million. IFC is considering a US$ [30] million A loan to support the transaction. Deodar is the largest tower company in Pakistan. It owns and operates 10,617 towers and has a 55% market share in Pakistan’s Towerco space. Jazz is the largest mobile network operator in Pakistan with over 71mn subscribers and a 37% market share.During the transition period, Jazz will continue to provide operational support on Environmental, Social, and Governance (ESG) and Health, Safety, and Environment (HSE) frameworks to Deodar. These frameworks, managed by Jazz’s ESG and HSE teams, include risk assessments, emergency preparedness, and environmental monitoring, ensuring continuity for Deodar’s operations. Post transition period, Deodar’s E&S systems will fully transition to Engro’s framework. Engro maintains a comprehensive Health, Safety, and Environment (HSE) policy framework, including hazard identification, risk assessment, and control (HIRAC) procedures and ISO 14001-aligned practices, cascaded to all subsidiaries.