The Clap The Saudi Basic Industries Corporation “SABIC” (2010) has decided to sell its entire stake in Saudi Iron and Steel Company “Hadeed” to the Public Investment Fund at a total value of 12.5 billion riyals. This move aims to accelerate the Kingdom’s industrial development.
What The final sale price will be determined on the date of completion of the transaction,
which is expected to be finalized before the end of the first quarter of next year.
SABIC will utilize the proceeds to bolster its growth in the chemical sector.
Hadid will purchase all the shares of Al-Rajhi Steel Industries Company (Al-Rajhi Steel) from Mohammed Abdulaziz Al-Rajhi and Sons Investment (Al-Rajhi Investment).
This comes in exchange for increasing capital and subscribing to new shares in “Hadid.”
Both transactions are expected to support the Saudi Fund’s efforts in the development of the local industry and to meet the increasing local demand for iron products in the construction, automotive, utilities,
renewable energy, transportation, and logistics sectors. This aligns with the Kingdom’s Vision 2030 goals and supports the Public Investment strategy to enhance 13 strategic sectors,
including metals and mining.
Now What The Public Investment Fund has sold its stake of 8.2 million shares, representing 10.9% of the capital of the National Gas and Manufacturing Company “Gazco” (2080), to “Jadwa Investment.”
GIB Capital, the financial advisor to the fund,
revealed this deal as a special transaction amounting to about 491.2 million riyals.
The transaction will be carried out as a negotiated deal in accordance with the trading and membership procedures of the Saudi financial market,
and it is to be completed by September 5 at the latest.