Saudi PIF explores new fundraising options to unlock cash from portfolio companies

• Options include securitising company cash flows and selling stakes in mature businesses.
• PIF manages more than $900bn in assets and is seeking to fund future investments without relying on additional capital injections.
• PIF recently sold a 49% stake in AI company Humain to Aramco, which will invest $2.6 billion in the business.

Saudi Arabia’s Public Investment Fund (PIF) is exploring new ways to raise capital from its portfolio companies as it looks to fund future investments without relying on additional money from the fund itself.

As reported by Reuters, three sources said that the $900 billion sovereign wealth fund is considering options including securitising cash flows from portfolio companies and selling stakes in mature businesses. It may also raise funds for younger companies.

The move comes as PIF faces pressure to generate more returns from investments made under Saudi Arabia’s Vision 2030 programme. 

The fund has spent almost a decade building businesses across sectors including real estate, technology, games and aviation.

Funding options

PIF is also considering trimming stakes in listed companies, issuing bonds to international investors and raising debt through export credit agencies. However, talks about potential stake sales have faced valuation disagreements and disputes over control of assets.

A weak Gulf IPO market has also limited the fund’s ability to raise money through public listings. Meanwhile, tighter liquidity among Saudi banks has added pressure on other funding routes.

PIF’s 2026-2030 strategy places greater emphasis on financial returns and private sector participation. It also expects more mature portfolio companies to help finance their own expansion.

Earlier this month, the Savvy Games Group parent completed a 49% stake sale in AI company Humain to Saudi Aramco, which will invest $2.6bn in the business this year. PIF retains control of Humain.

PIF is also reportedly in talks to acquire game engine company Unity for around $25bn, alongside investment firm Silver Lake. The potential deal would add another major technology asset to the fund's portfolio, having already completed a $55bn deal for EA.

Its subsidiary Savvy Games Group, meanwhile, owns companies such as Scopely, ESL FaceIt Group and a majority stake in Loom Games. It also owns stakes in a number of publicly listed games companies.