Riyadh, Saudi Arabia — Shareholders of Saudi Arabian Mining Company (Maaden) have approved a 2.26% capital increase to complete the company’s aluminium acquisition. The capital increase will help strengthen Maaden’s position in the Kingdom’s industrial sector.

The capital increase raises Maaden’s capital to SAR 13.17 billion. The company will issue over 29.6 million new shares. These shares go to the Public Investment Fund (PIF) in exchange for Maaden gaining full ownership of its aluminium business.

Maaden Capital Increase: Structure and Shareholder Details

This capital increase supports Maaden’s acquisition of Alcoa’s 25.1% stake in Maaden Aluminium Company (MAC) and Maaden Rolling Company (MRC). After the deal, Maaden will fully own both subsidiaries, reinforcing its role in Saudi Arabia’s aluminium and mining industries.

The agreement was signed with PIF, Saudi Arabia’s sovereign wealth fund. As part of the deal, new shares will be issued to PIF. Shareholders approved the transaction during the extraordinary general assembly on June 24, 2025.

 

 

The Saudi Standard’s View: The Increase Aligns with Growth, Resource Control, and National Strategy

The approved Maaden capital increase marks more than a typical equity adjustment. It reflects the company’s broader strategy to consolidate control of key assets while supporting Saudi Arabia’s long-term economic goals.

Full ownership of Maaden Aluminium Company (MAC) and Maaden Rolling Company (MRC) gives Maaden operational flexibility. By reducing joint venture complexities, Maaden can streamline decision-making, optimise efficiency, and expand production capacity in one of the Kingdom’s most strategic industries.

This move also strengthens Maaden’s role in achieving Vision 2030 objectives, where mining and metals diversification is a national priority. With aluminium playing a growing role in global construction, transport, and renewable energy sectors, securing control over this segment positions Maaden to capitalise on rising demand.

The transaction highlights how state-aligned companies like Maaden and PIF work together to advance Saudi industrial capabilities, enhance value chains, and attract new investment. Ultimately, the capital increase reshapes Maaden’s balance sheet and reinforces its role in building Saudi Arabia’s modern resource economy.

 

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