Masdar: PIF Acquires 30% Equity in Saudi Construction Materials Firm
Deal News | Feb 13, 2025 | Zawya
The Saudi Public Investment Fund (PIF) has acquired a 30% stake in Masdar for Building Materials Company by subscribing to newly issued shares through a capital increase. This strategic investment aims to enhance Masdar's operations by incorporating digital technology, thereby improving customer experience and operational efficiency. Additionally, the collaboration will facilitate Masdar in expanding its operations, forming strategic partnerships, and increasing the involvement of local suppliers in the building materials market. Ahmad Al Ghamdi, Head of Construction and Building Materials MENA Investments at PIF, emphasized that this investment is set to reinforce local supply chains and support the development of the distribution network. This move aligns with the Saudi Vision 2030 agenda by boosting strategic sectors in the kingdom. Faisal Al Muhaidib, CEO of Masdar, highlighted the pivotal role this partnership will play in supporting the construction and building materials sector's development, aiding in maintaining Masdar's market leadership.
Sectors
- Construction Materials
- Investment Funds
Geography
- Saudi Arabia – The acquisition of Masdar by PIF is a strategic move that aligns with the development goals of Saudi Arabia, particularly Vision 2030.
Industry
- Construction Materials – The article revolves around the acquisition of a firm specializing in building materials distribution, which is integral to the construction industry.
- Investment Funds – The involvement of the Saudi Public Investment Fund highlights the investment fund sector, playing a strategic role in economic growth and industry support.
Financials
- 30% – Equity stake acquired by PIF in Masdar for Building Materials.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Masdar for Building Materials | Target Company | Company | A Saudi-based company specializing in the trading and distribution of building materials. |
| Public Investment Fund (PIF) | Bidding Company/Investor | Company | Saudi Arabia's sovereign wealth fund making strategic investments to support economic growth and development. |
| Ahmad Al Ghamdi | Head of Construction and Building Materials MENA Investments at PIF | Person | A key figure in the strategic investment decision of PIF in Masdar. |
| Faisal Al Muhaidib | CEO of Masdar | Person | Leading Masdar in its expansion and partnership with PIF. |