Ncell leaving Nepal ! NCELL about to quit Nepal ? Detailed information why , what , no more Ncell sim in Nepal ?

 You may have heard a news about Ncell leaving Nepal ! Does it means ncell Sim is about to close in Nepal ? In short NO , Ncell Axiata Limited (Previously Ncell Private Limited) is the first private mobile service provider operating in Nepal and Ncell is the subsidiary company of Malaysia based company Axiata group because Axiata holds maximum stake 80% of Ncell and Remaining 20% is hold by Nepali company Sunivera Capital Ventures owned by Satish Lal Acharya ,  and Axiata is planning to sell their whole 80% stake , which means they are selling Ncell to other investor(company) . Only owner will change to Ncell company will remains same . 

History of Ncell 

Ncell is a first private mobile service provider operating in Nepal. It was started as "Mero Mobile" in 2004 and after 4 years later it has been acquired by Telia Company of Sweden and in 2010 name has been changed and rebranded as 'Ncell'. But after around 8 years Telia company also left Nepal and Ncell become the part of Axiata Group in 2016. In 2020 Axiata change to name from ' Ncell private limited' to 'Ncell Axiata limited' and also converted into public limited company which allows general public to apply IPO and buy shares of Ncell. Axiata made ncell their subsidiary company and has seen vision as a long term investor in Nepal but after 3 years at the end of 2023 Axiata decided to leave Nepal and Ncell, but why?

Difference between Axiata & Ncell?

Ncell and Axiata are two different company , Axiata is a Malaysia based one of the leading telecommunications groups which acquires maximum shares of Ncell. For Example : You Started a Business But after  sometime due to lack of fund and lack of knowledge of market you decided to sell that business to someone else and here Axiata group came who has been working / doing business in the market of telecommunication and become the owner of your business.

What & Who is Axiata?

Axiata is one of the leading telecommunications groups in Asia with different name in different countries of Asia. Ncell , Robi , Smart , Dialog , XL Axiata are the different names of axiata covering Malaysia , Indonesia , Sri Lanka , Bangladesh , Cambodia , Pakistan , Philippines , Myanmar , Loas and Nepal.

What will happen to Ncell now ? 

Nobody knows that what will happens to ncell now . Axiata has decided to exists but who is buying isn't fixed , The future of ncell depends on the buying company , as per the Rumors SUNIVERA CAPITAL VENTURE who holds 20% stakes will buy the remaining 80 % also but i don't think a it has ability to buy such a big company & why would any company invest in a loss making company.

Why Axiata is leaving Nepal ?

There is a numbers of factors which leads to quit Axiata Nepal. As per the experts one of the strong reason is a paying  high telecom licensee renewal fee of Rs20 billion, which needs to be paid thrice during the 25-year licence period, amounting to a total of Rs60 billion.

Ncell also suffering loss of subscription growth around 1.82 percent quarter on quarter  and due to tax assessment company's Earning before interest and taxes ( EBIT ) has declined by 11.4 percent and due to higher finance cost decline of around 47 percent have been seen in profit after taxes and minor interests .   

Due to Nepal whole Axiata Group is facing losses in their business , the profits from other nations has been also affected due to ncell , as per the Experts Governments rules and regulation , unfavorable environments created by the GOV for foreign investor is one of the greatest reason to leave Axiata from nepal.