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Chronicles

The story behind the story

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Digital security company Elm, owned by Saudi Arabia's sovereign wealth fund, jumps 30% to $44.30 in its Riyadh trading debut after raising $820M in its IPO

Farah Elbahrawy / Bloomberg :

Bloomberg Farah Elbahrawy

Context & Ripple Effects

Elm's listing was three weeks in the making: the PIF-owned digital security firm filed to raise up to $820M in its Riyadh IPO in late January, and the 30% first-day jump to $44.30 confirms demand ran well past that target. Because the sovereign wealth fund stays majority owner, the debut is a partial monetization, not an exit.

The arc around it is PIF building out a listed Saudi tech complex: it has funded e-commerce player Noon.com directly, Salla's round was framed as its last before an IPO, and in 2025 PIF went further by selling business-services firm Thiqah to Elm itself in a $906M related-party acquisition.

First-order effects

  • PIF converts a minority slice of Elm into $820M of fresh capital while retaining control, and public buyers immediately mark that stake up 30% to $44.30.

Second-order effects

  • A warm reception gives PIF a template for taking other portfolio companies public — Salla's pre-IPO positioning and Noon.com's PIF-led funding sit directly on this path — and lets Elm use its newly valued currency for acquisitions like Thiqah.

Third-order effects

  • Riyadh's exchange is structuring itself as the exit venue for state-backed digital infrastructure, with the government simultaneously owner, anchor customer, and seller — a circularity public-market investors will have to price.

The trend: Saudi Arabia's sovereign wealth fund is serially listing its digital-security and e-commerce holdings on the Riyadh exchange, recycling proceeds while keeping control.