Public Investment Fund (PIF), the sovereign wealth fund of Saudi Arabia, has completed the sale of part of its stake in the Saudi Telecom Company (stc) through an accelerated bookbuild offering.
The offering comprised 100 million shares, representing 2 percent of stc’s issued share capital. The total value of the offering was SAR 3.86 billion ($1.03 billion), with a final offer price of SAR 38.6 ($10.27) per share.
Both local and international institutional investors participated in the offering, pursuant to Regulation S of the U.S. Securities Act of 1933. The offering was oversubscribed and represents the largest ever accelerated bookbuild offering in Saudi Arabia and the wider MENA region, demonstrating the attractiveness of the Saudi capital market and serving as a testament to investors’ confidence.
PIF reiterates the strategic importance of its ownership in stc and its diverse partnerships with the company through a number of PIF portfolio companies. PIF looks forward to supporting stc’s leading role in shaping the future of the ICT sector in Saudi Arabia, one of its priority sectors.
PIF’s remaining stake equates to 3.1 billion shares in the company, or 62 ppercent of stc’s issued share capital. This transaction is in line with PIF’s strategy to recycle its capital and invest in emerging and promising sectors in the local economy.
