Saudi Telecom second-quarter profit up 8%

Saudi Telecom Company reported an 8 percent rise in profit to SR2.38 billion in the three months to June 30. (Reuters)
Updated 26 July 2017
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Saudi Telecom second-quarter profit up 8%

DUBAI: Saudi Telecom Company (STC) reported an 8 percent rise in second-quarter profit on Wednesday, broadly in line with the average forecast of four analysts.
The former monopoly, which competes domestically with Etihad Etisalat (Mobily) and Zain Saudi, made a net profit of SR2.38 billion in the three months to June 30. This compares with a profit of SR2.20 billion in the prior-year period, a bourse statement said.
Four analysts polled by Reuters had on average forecast STC, which owns stakes in operators in the Gulf, Turkey and Asia, would make a quarterly profit of SR2.42 billion.
STC’s new $500 million (SR1.87 billion) venture capital fund said in May it expected to complete its first transaction by the fourth quarter of this year.
In a separate statement, STC announced a dividend of 1 riyal per share for the second quarter, the same as for the year earlier period.


Potential SABIC deal would affect Saudi Aramco IPO time frame, says CEO Nasser

Updated 20 July 2018
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Potential SABIC deal would affect Saudi Aramco IPO time frame, says CEO Nasser

JEDDAH: A potential deal to buy a stake in petrochemical maker SABIC would affect the time frame of Saudi Aramco's initial public offering (IPO), the oil firm's president and CEO Amin H. Nasser said Friday. 

The IPO of around 5 percent of Aramco, which was initially to take place this year but is now more likely to happen later, would be the world's biggest listing, raising up to $100 billion.

Nasser said that buying a stake in a chemical company like SABIC would positively affect Aramco's revenue, Al Arabiya reported.

“We are still in the very early stages of the discussion to buy a stake in SABIC,” the Aramco CEO said.

“Aramco is ready for the initial offer and the timing remains subject to the state's decision.”

Saudi Aramco said on Thursday it is looking at the possibility of buying a stake in SABIC, a move that could boost the state oil giant’s market valuation ahead of the planned IPO.
Aramco said in a statement that it was in “very early-stage discussions” with the Kingdom’s Public Investment Fund (PIF) to acquire the stake in SABIC via a private transaction. It has no plans to acquire any publicly held shares, it said.
In a separate statement, PIF also said talks about a sale were in early stages. “There is a possibility that no agreement will be reached in relation to this potential transaction,” it said.