RIYADH: Saudi Arabia is expected to finalize rules to allow cross listings on the Tadawul stock exchange in the second quarter of this year in a move that could spur more trading on the region’s biggest stock market.
The Tadawul also announced on Thursday a number of changes to its parallel market, called “Nomu” which aims to support small businesses.
The reforms, to be rolled out in phases between April and September, include provisions to allow for direct listings on Nomu without an IPO (initial public offering).
Companies will also be allowed to report on a semi-annual basis instead of quarterly while the market streamlines the process for issuers to transition from the parallel market to the main market.
Plans are also in place to allow for the listing of closed-end real estate investment trusts (REITs).
“These initiatives are part of our ongoing strategic plans to further develop Nomu,” said Khalid Al-Hussan, the CEO of Tadawul.
“We are constantly working on making Nomu a more flexible attractive platform for both investors and potential companies,” he said.
These latest reforms coincide with the Tadawul joining the FTSE Russell and S&P international indices as an emerging market as well as the MSCI Emerging Markets Index, all of which are set to boost liquidity on the market.
Plans to allow cross listings on the Tadawul of companies from other Gulf states could also spur trading.
“There is a good interest from companies in the GCC countries to list on the Saudi market,” he said. “We are also opening the doors for the SMEs in the GCC to access the parallel market.”
Efforts are also being made to develop research for Nomu-listed companies so that investors are better informed.
The Tadawul expects passive fund inflows of $15 to $20 billion this year, Al-Hussan told Reuters in an interview on Thursday.
Tadawul reveals raft of reforms as it prepares for cross listings
Tadawul reveals raft of reforms as it prepares for cross listings
- The reforms, to be rolled out in phases between April and September, include provisions to allow for direct listings on Nomu without an IPO
- Reforms coincide with the Tadawul joining the FTSE Russell and S&P international indices as an emerging market as well as the MSCI Emerging Markets Index
PIF’s Humain invests $3bn in Elon Musk’s xAI prior to SpaceX acquisition
JEDDAH: Humain, an artificial intelligence company owned by Saudi Arabia’s Public Investment Fund, invested $3 billion in Elon Musk’s xAI shortly before the startup was acquired by SpaceX.
As part of xAI’s Series E round, Humain acquired a significant minority stake in the company, which was subsequently converted into shares of SpaceX, according to a press release.
The transaction reflects PIF’s broader push to position Saudi Arabia as a central hub in the global AI ecosystem, as part of its Vision 2030 diversification strategy.
Through Humain, the fund is seeking to combine capital deployment with infrastructure buildout, partnerships with leading technology firms, and domestic capacity development to reduce reliance on oil revenues and expand into advanced industries.
The $3 billion commitment offers potential for long-term capital gains while reinforcing the company’s role as a strategic, scaled investor in transformative technologies.
CEO Tareq Amin said: “This investment reflects Humain’s conviction in transformational AI and our ability to deploy meaningful capital behind exceptional opportunities where long-term vision, technical excellence, and execution converge, xAI’s trajectory, further strengthened by its acquisition by SpaceX, one of the largest technology mergers on record, represents the kind of high-impact platform we seek to support with significant capital.”
The deal builds on a large-scale collaboration announced in November at the US-Saudi Investment Forum, where Humain and xAI committed to developing over 500 megawatts of next-generation AI data center and computing infrastructure, alongside deploying xAI’s “Grok” models in the Kingdom.
In a post on his X handle, Amin said: “I’m proud to share that Humain has invested $3 billion into xAI’s Series E round, just prior to its historic acquisition by SpaceX. Through this transaction, Humain became a significant minority shareholder in xAI.”
He added: “The investment builds on our previously announced 500MW AI infrastructure partnership with xAI in Saudi Arabia, reinforcing Humain’s role as both a strategic development partner and a scaled global investor in frontier AI.”
He noted that xAI’s trajectory, further strengthened by SpaceX’s acquisition, exemplifies the high-impact platforms Humain aims to support through strategic investments.
Earlier in February, SpaceX completed the acquisition of xAI, reflecting Elon Musk’s strategy to integrate AI with space exploration.
The combined entity, valued at $1.25 trillion, aims to build a vertically integrated innovation ecosystem spanning AI, space launch technology, and satellite internet, as well as direct-to-device communications and real-time information platforms, according to Bloomberg.
Humain, founded in August, consolidates Saudi Arabia’s AI initiatives under a single entity. From the outset, its vision has extended beyond domestic markets, participating across the global AI value chain from infrastructure to applications.
The company represents a strategic initiative by PIF to diversify the Kingdom’s economy and reduce oil dependence by investing in knowledge-based and advanced technologies.
