Saudi Elm Acquires Thiqah from PIF for $907 Million
Funding | Jan 22, 2025 | Zawya
Saudi Arabian digital security firm, Elm Company, has struck a deal to acquire the business services company Thiqah from the Public Investment Fund (PIF) for approximately 3.4 billion riyals, equivalent to $906.28 million. Elm, which is predominantly owned by PIF, signed a share sale and purchase agreement that involves a full cash transaction. This deal, which commenced in negotiations in 2023, stipulates that Thiqah will become a wholly-owned subsidiary of Elm upon completion. The transaction is subject to regulatory approvals and other conditions outlined in the agreement. Elm's acquisition marks a significant move in the digital security and business services sector in Saudi Arabia, reflecting the ongoing strategic investments and realignments by the country's sovereign wealth fund.
Sectors
- Digital Security
- Business Services
- Investment Management
Geography
- Saudi Arabia – The transaction involves Saudi Arabian companies and is supervised by the Saudi sovereign wealth fund, indicating a focus on the regional market.
Industry
- Digital Security – Elm Company operates in the digital security sector, providing technological solutions that ensure privacy and data protection.
- Business Services – Thiqah offers business-oriented services that likely include consulting and support for corporate functionalities, which would position it within the business services sector.
- Investment Management – The transaction involves the Public Investment Fund, which is a key player in investment management in Saudi Arabia, reflecting strategic asset allocations.
Financials
- $906.28 million – The transaction value for the acquisition of Thiqah by Elm from PIF.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Elm Company | Acquirer | Company | A Saudi digital security firm acquiring Thiqah. |
| Thiqah | Target | Company | A Saudi business services company being acquired by Elm. |
| Public Investment Fund (PIF) | Seller | Company | The Saudi sovereign wealth fund selling its stake in Thiqah to Elm. |