Saudi Sovereign Fund Sells $253 Million Stake in Masar

28/11/2025 04:10 AST

The Saudi Public Investment Fund (PIF) announced on Wednesday the completion of the sale of part of its stake in Umm Al Qura for Development and Construction, the company behind the Masar project in Makkah. The deal was executed through an accelerated book-building process.

A total of 48 million shares were offered, representing 3.3 percent of the company's capital. The offering generated proceeds of more than SAR 950 million (over $253 million), with the final price set at 19.8 riyals per share.

According to a statement from PIF, the offering drew strong demand from both local and international institutional investors, exceeding the total available shares. The fund said the robust interest reflects investor confidence in Masar and the attractiveness of the Saudi capital market.

Following the transaction, PIF now holds 234.3 million shares in Masar, equivalent to 16.3 percent of the company's total capital. The deal is expected to increase the company's free float and broaden its institutional investor base.

Saad Alkroud, Head of Local Real Estate Investments at PIF, said the sale expands Masar's investor base by creating additional investment opportunities for institutions.

He added that the transaction aligns with PIF's investment strategy, which aims to recycle capital and reinvest returns within the local ecosystem to strengthen the role of the private sector and financial markets in Saudi Arabia. It also supports the fund's ongoing efforts to drive sustainable development and diversify the national economy.

PIF is regarded as one of the world's most influential investment institutions, focusing on developing new sectors and opportunities that help shape the global economy, generate returns, and advance Saudi Arabia's economic transformation.

Asharq Al Awsat