Riyadh, Saudi Arabia— Public Investment Fund of Saudi Arabia has decided to sell 10 percent of its stake in the Kingdom’s stock exchange operator Saudi Tadawul Group Holding Co. through an accelerated book-building offering.
According to a bourse filing, PIF, which has over $600 billion in assets, is selling 12 million shares in Tadawul Group.
The offering is in line with PIF’s strategy of recycling its capital in order to invest in emerging and promising sectors of the local economy, according to a statement.
The collaboration between the two has seen them tie up in diverse fields. Last year, the two joined hands to establish a regional carbon offset and credit exchange to combat climate change in the region.
The price per offer share will be determined through an accelerated book-building process that will begin immediately, and the results will be announced on Friday, Nov. 11.
The sovereign wealth fund has hired both HSBC Saudi Arabia and Morgan Stanley Saudi Arabia to act as joint global coordinators, as well as Al Rajhi Capital to act as joint book-runner.
In February this year, Saudi Arabia transferred 4% of Saudi Aramco shares worth $80 billion to the kingdom’s Public Investment Fund (PIF) to shore up the sovereign wealth fund and to transform the Saudi economy and diversify away from oil revenues.