Saudi sovereign fund sells 2% of STC shares

Saudi Public Investment Fund (PIF) today announced the successful sale of 100 million shares in Saudi Telecom Company (STC), representing 2 per cent of STC’s issued share capital.

The transaction, valued at SAR 3.86 billion ($1.03 billion), was conducted through an accelerated bookbuild offering aimed at local and international institutional investors, making it the largest bookbuild offering of its kind in Saudi Arabia and the wider MENA region.

The offering, priced at SAR 38.6 per share, attracted significant interest from both domestic and international institutional investors, underscoring global confidence in the Saudi capital market.

The transaction, conducted under Regulations of the US Securities Act of 1933, also contributed to increasing the stock’s free float and expanding its international investor base.

Following the sale, PIF’s stake in STC stands at 62 per cent, equating to 3.1 billion shares. The fund reiterated its commitment to STC and its pivotal role in the information and communications technology sector in Saudi Arabia, which is one of PIF’s strategic investment areas.

This divestment supports PIF’s long-term strategy of capital recycling, allowing for reinvestment in emerging and high-potential sectors within the Saudi economy.

Attribution: PIF

Subediting: M. S. Salama