stc Group receives PIF offer for acquiring 51% stake in its “TAWAL” company
Saudi digital enabler stc Group announced that it had received a non-binding offer from the Public Investment Fund (PIF) to buy 51 percent of Telecom Towers Company (TAWAL), which is completely owned by stc, with a total value of 21.94 billion riyals.
The offer is in line with the Group‘s strategy which aims at expanding investments, maximizing returns on assets, and recycling capital.
Conspicuously, the offer is in line with the Group’s strategy to grow and expand by retaining stakes in value-added strategic assets across its subsidiaries, as well as benefiting from the return on these assets in development, expansion, and capital recycling, for ensuring a healthy enhancement of the group’s ability to invest in pioneering and diversified areas, in addition to maximizing the return on shareholder equity.
“stc Group continues to achieve its growth and expansion strategy and maximize the group’s assets by increasing and diversifying investments in the telecommunications and information technology sector, in addition to leading the digital transformation on both the local and international scales, by investing in principal technologies, across the digital economy at the regional and global levels”, said Eng. Olayan Alwetaid, stc Group CEO.
“This offer is aligned with the global communications and information technology trends, which conveys the group’s continuous work to build and develop a reliable digital infrastructure to enhance the Kingdom’s position as a regional center, as well as contributes to enabling the digital transformation for the public and private sectors, and in turn, it will be reflected in strengthening the digital economy in line with the Kingdom’s goals towards a vibrant society, an ambitious nation, and a thriving economy. The submitted offer does not represent any obligation on the parties and is subject to completing the due diligence work and reaching a final and binding agreement, that is conditional on obtaining all regulatory approvals from the relevant authorities, including the approval of the General Authority for Competition, the internal approvals of the concerned parties and any other conditions that may be agreed upon both parties”, concluded Alwetaid.