• The investment will unlock growth in the construction and building components and services sector, a vital pillar of the local economy
  • PIF continues to enable and enhance the Saudi private sector

RIYADH – PIF today announced the acquisition of a 30% stake in Masdar for Building Materials Company (Masdar), a leading local company specializing in the trading and distribution of building materials, by way of subscribing to newly issued shares through a capital increase.

PIF’s investment will enable Masdar to transform its operations through digital technology, enhancing the customer experience, and improving operational efficiency. The investment will also allow the company to expand its operations, build new strategic partnerships, as well as increase the role of local suppliers and businesses in serving the building materials market.

Ahmad AlGhamdi, Head of Construction and Building Materials – MENA Investments at PIF, said: “The investment in Masdar will contribute to reinforcing local supply chains by unlocking capabilities in the construction and building components and services sector, one of PIF’s strategic sectors. The investment will also support the development of the building materials distribution network, increase access to value-added services, and accelerate digital transformation through the adoption of the latest technologies and solutions. The investment also represents another step towards promoting partnerships with the private sector to develop strategic sectors and increase Saudi Arabia’s GDP.”

Faisal Al-Muhaidib, Masdar CEO, said: “As a leading building and construction materials company in Saudi Arabia, we look forward to partnering with PIF to play a vital role in supporting the growth and development of the sector by scaling up our capabilities and meeting current and upcoming demand. The construction and building components and services sector is one of the most important and promising sectors in Saudi Arabia, and PIF's investment will accelerate and unlock Masdar’s growth, enabling us to scale our capabilities and maintain our leading position by offering products via our exceptional distribution network.”

This investment reinforces PIF’s commitment to supporting the growth of strategic sectors in Saudi Arabia and achieving the goals of Saudi Vision 2030. The construction and building components and services sector is a priority sector due to its significant role in the economy.

PIF aims to solidify Saudi Arabia’s leading position in the construction and building components and services sector by promoting private sector participation to meet both current and future demand. Additionally, PIF aims to reinforce local supply chains, prioritize strategic products and services, and localize advanced technologies and expertise.

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About PIF

PIF is the investment engine driving economic transformation for Saudi Arabia and the world. With an ambitious program to deliver Vision 2030, PIF invests in projects, companies and partners to diversify the Saudi economy, stimulate growth in every major sector, and create new opportunities for investment and employment.

And as a global investor and catalyst of change, PIF actively partners with the most pioneering organizations across the world to accelerate their growth, and transfer the technology and knowledge needed to build industry ecosystems of the future.

Since 2017, PIF has established 99 companies and is driving the transition to a more sustainable economy through strategic investments and partnerships across the Saudi public and private sector. PIF is laying the foundations for local and international partners to invest in the economic and societal transformation of Saudi Arabia.

For more information, visit the website at www.pif.gov.sa
Rupert Trefgarne: rtrefgarne@pif.gov.sa

About Masdar:

Masdar is a leading building and construction materials company with over 50 years of experience in Saudi Arabia that specializes in the distribution of all kinds of steel, timber, insulation, plumbing, electrical, tools, architectural hardware, chemicals, smart home solutions, access control, and fasteners, to support the construction and building components and services sector needs of Saudi Arabia. With a vast network of branches across Saudi Arabia, supported by advanced logistics and professional teams.