The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.

Equity market set for a boost

A new capital markets law, continued privatization and an eventual opening up to foreign investors should boost Saudi Arabia's equity market.

Saudis are buying and using cellphones in record numbers.

KHALID AL-MOLHEM, president of Saudi Telecom (STC), has the air of a contented man as he ticks off the past year's successes, which include a successful privatization of 30% of the company, the completion of his corporate restructuring plans and an expansion of the mobile business that has seen Saudis buying and using cellphones in record numbers.


STC's share price has more than doubled since its flotation last December. And in the first six months of this year the company's shares have accounted for almost a quarter of trades on the Saudi Stock Exchange (Tadawul), which at present is not open to international investors.

"Before the flotation, the company was valued at SR51 billion, which already made it the largest company in the region, and it is now worth SR117 billion ($30.8 billion). In terms of size we are number 14 in the world and, among the emerging markets, we are second only to China Mobile," says Al-Molhem.

STC is now well placed for the competition that could come in the mobile market as early as next year and for landline business in 2008.


You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree