Riyadh – Mubasher: The Saudi Public Investment Fund (PIF) is planning to use its financial muscle to lure international health and technology companies to establish operations in the kingdom, PIF’s Governor, Yasir al-Rumayyan, told the Financial Times.

The $400 billion sovereign wealth fund is already in talks with a number of companies in the health sector, al-Rumayyan said, adding that it is holding talks with electric car start-up Lucid Motors, in which it invested $1.3 billion to acquire a 67% stake, to set up a manufacturing facility in the kingdom, and with many companies in SoftBank’s Saudi-backed $100 billion Vision Fund. 

The fund’s international exposure would come down to about 20% of assets under management (AUM) during the next five years, from nearly 30% as it focuses more at home. Still, in absolute terms, foreign investments will continue to grow.

PIF’s al-Rumayyan further revealed that Riyadh might consider listing more shares in Saudi Aramco if the valuation is right, and that the state oil company itself was considering a massive programme of asset divestments.

“Historically speaking, [Saudi Aramco] used to do everything themselves . . . they had their own airports, their own fleets, their own pipelines. Now if it makes sense for us to divest some of these assets, we’re definitely going to do it. It could include anything except the main operations,” he noted.

Furthermore, al-Rumayyan said the PIF would need additional government cash injections, but stressed that would happen only when the central bank’s reserves, which dropped to around $444 billion in the middle of last year, were replenished.