(MENAFN) The stc Group, a prominent telecommunications entity in Saudi Arabia, has successfully obtained official approval for the soft launch of its upcoming subsidiary in the banking sector, signaling its intent to introduce Shariah-compliant fintech solutions. This significant milestone was revealed by the company's CEO, Olayan Al-Wetaid, during the announcement of the first-quarter financial results.
The approval from the Saudi Central Bank paves the way for the beta launch of stc Bank, with plans for a comprehensive rollout to all customers expected later in the year. Al-Wetaid underscored the emphasis on offering banking services and financial solutions that adhere to Islamic Shariah principles, placing paramount importance on ensuring high security standards and safeguarding customer interests through the application of advanced fintech solutions.
This strategic move aligns seamlessly with the ambitious objectives outlined in the Kingdom's Vision 2030, aimed at fostering a prosperous and diversified economy. In detailing the financial results for the period ending March 31, Al-Wetaid highlighted stc Group's strengthened foothold in the telecommunications sector, attributed in part to a strategic partnership forged with the Public Investment Fund (PIF).
Further bolstering its position, stc Group recently finalized agreements with PIF for the acquisition of a 51 percent stake in the Telecommunications Towers Co., known as Tawal, valuing the company at SR21.94 billion ($5.8 billion). This transaction forms part of a broader merger initiative involving Golden Lattice Investment Co., aimed at establishing a new entity poised to lead the national telecommunications infrastructure landscape, while stc Group retains a significant 43.06 percent stake.
These transformative developments are integral components of stc's DARE 2.0 strategy, characterized by its commitment to unconventional growth pathways and spearheading digital transformation endeavors within the region, emphasized Al-Wetaid.
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