Zain Group announced that the Board of Directors of Zain Saudi Arabia (Zain KSA) has approved the binding offer submitted by the Kingdom’s Public Investment Fund (PIF) led consortium to acquire a 80% majority stake in Zain KSA’s 8,069 passive tower infrastructure for a value of SAR 3.026 billion (USD 807 million).
The consortium offer will see the PIF acquiring a 60% stake, Sultan Holding Company acquiring 10%, and Prince Saud bin Fahd bin Abdulaziz acquiring 10%. Zain KSA will own the remaining 20% stake, with the PIF having a call option to buy this remaining 20% for a specified amount.
Zain KSA will sell its passive, physical towers infrastructure and retain all other wireless communication antennas, software, technology, and intellectual property with respect to managing its telecom network
This transaction follows an in-depth evaluation to complete due diligence and ensure compliance with the Kingdom’s regulatory requirements and obtain the necessary approvals, and is in line with the strategy to develop the local Information and Communication Technology (ICT) sector and localize the related technologies in the Kingdom.
Bader Al Kharafi, Zain Vice Chairman and Group CEO, and Zain KSA Vice-Chairman
This transaction creates enormous shareholder value and gives Zain KSA greater financial muscle to invest in cutting-edge technologies and innovation that enhance the customer mobile and data experience. We congratulate the Kingdom’s leadership, the PIF and regulatory authorities for their wisdom in creating an environment that raises the telecom sector to new heights in line with Saudi Vision 2030.
