- PIF and stc Group have finalized agreements for PIF to acquire a 51% stake in TAWAL from stc Group
- TAWAL and GLIC will merge to create the region’s largest telecom tower company to enhance customer service
- The merged entity will rank among the world’s largest tower companies
- stc aims to optimize capital while maintaining stakes in valuable strategic assets
The Public Investment Fund (PIF) and Saudi Telecommunications Company (stc Group) have announced the signing of definitive agreements, with PIF acquiring a 51% stake in Telecommunication Towers Company Limited (TAWAL) from stc Group. TAWAL, valued at $5.85 billion, is the largest telecom infrastructure firm in Saudi Arabia and a major player in the region. Following this, TAWAL and Golden Lattice Investment Company (GLIC), majority-owned by PIF, will merge to form the region’s foremost telecom tower entity.
The new company will be predominantly owned by PIF (54%) and stc Group (43.1%), with GLIC’s minority shareholders holding the remaining shares.
These transactions are slated for completion in the second half of 2024, pending regulatory approvals and other contractual conditions.
Raid Ismail, Head of MENA Direct Investments at PIF, emphasized the significance of these agreements for the telecom industry, highlighting the synergy between GLIC and TAWAL to foster sectoral growth and connectivity in line with Saudi Vision 2030.
Motaz Alangari, Group Chief Investment Officer of stc Group, echoed these sentiments, underlining the strategic value of the merger in driving sustainable growth and digital transformation.
The merged entity is expected to enhance consumer experience, network coverage, and operational efficiency, driving innovation and supporting Saudi Arabia’s global competitiveness in the tech sector.
This announcement signifies PIF’s and stc Group’s commitment to fortifying Saudi Arabia’s telecom infrastructure, aligning with Vision 2030 objectives and positioning the Kingdom as a tech innovation hub.
