Riyadh, Saudi Arabia– Saudi Arabia’s sovereign wealth fund, PIF, has sold its 10 percent stake in Saudi Tadawul Group Holding Company through an Accelerated Bookbuild Offering to institutional investors.
The offering size was SAR 2.3 billion ($611 million), making it the second largest Accelerated Bookbuild Offering to ever take place in the Saudi market and the GCC region. It sold 12 million shares and its remaining stake is equivalent to 72 million shares or 60 percent of the Company’s shares.
In a bourse filing, PIF said the final offer price was set at SR191 ($51) per share. Media reports said that sovereign wealth fund raised SR2.29 billion through the sale.
Eyas AlDossari, Head of Investment Advisory in the MENA Investments Division at PIF, said, “This transaction is in line with PIF’s strategy to recycle the Fund’s capital and invest in emerging and promising sectors in the local economy. The strong interest generated from domestic and international investors is indicative of Saudi Tadawul Group Holding Company’s ability to attract a broad base of investors as one of the leading companies listed on the Saudi Exchange.”
PIF said the sale contributes to increasing it’s free float, enhancing the liquidity of the market for both local and international investors and is expected to contribute to the value creation for the company’s shareholders and for the Saudi market as a whole.
Last year, the PIF sold a 30 percent stake in Tadawul in a $1 billion IPO. The Fund, chaired by Crown Prince and Prime Minister Mohammed bin Salman, invested SR84 billion locally in 2021 and is planning to invest another SR150 billion in 2022.