Reuters quoted sources described as “close to the matter” that the Saudi Public Investment Fund (PIF) is considering selling part of its stake in the Saudi Telecom Company “STC”.
The investment fund has about $430 billion in assets, according to data from the Sovereign Wealth Funds Institute.
Three sources told the agency, who declined to be named, that the fund had appointed Goldman Sachs Bank and Al-Ahly Capital to arrange the deal.
One of the sources said that the value of the Saudi Telecom deal is under study, while he did not disclose its value, according to the agency.
Shares of Saudi Telecom have risen by more than 25% this year, and closed at 132.80 riyals, or the equivalent of $35.73, on Tuesday.
The Public Investment Fund plans to double its assets to 4 trillion riyals, equivalent to 1.07 trillion dollars, by 2025.
The Public Investment Fund and Goldman Sachs declined to comment, and Etisalat and Al Ahly Capital did not immediately respond to Reuters requests for comment.
The fund currently owns about 70% of the Saudi Telecom Company, and Refinitiv data and Reuters calculations show it is estimated at about $50 billion.
The Public Investment Fund’s strategy is to build an international portfolio of investments while investing locally in projects that will help reduce Saudi Arabia’s dependence on oil.