PIF and STC Group are forming the largest telecom tower company

The Public Investment Fund (PIF) and Saudi Telecommunications Company (STC Group) have signed definitive agreements to form the region’s largest telecom tower company. PIF will acquire a 51% stake in Telecommunication Towers Company Limited (TAWAL) from STC Group, making TAWAL and Golden Lattice Investment Company (GLIC) a new merged entity.

TAWAL, the largest telecommunications infrastructure company in Saudi Arabia, has an enterprise value of $5.85 billion. The new entity, owned 54% by PIF and 43.1% by stc Group, will consolidate Saudi Arabia’s tower assets, significantly enhancing consumer experience and network coverage.

The transactions are expected to be completed in the second half of 2024. This move aligns with PIF’s strategy and the Saudi Vision 2030, marking a major stride towards a more interconnected digital future.

Motaz Alangari, Group Chief Investment Officer of STC Group, stated that these agreements are part of STC Group’s continuous endeavour to grow and maximize value most sustainably.

Mathad Faisal Alajmi (pictured), the Group Chief Legal and Risk Officer and General Counsel for stc Group, played a crucial role in the process.

The new merged entity will possess approximately 30,000 mobile tower sites and will become one of the largest tower companies globally with estimated annual revenues of approximately $1.3 billion. This announcement aims to ensure the resilience and international competitiveness of a critical national digital infrastructure asset and aligns with the goals of Vision 2030.