What Is the Name of the Company Owned by the Public Investment Fund in the

Elm Company for Technology Services is a Saudi joint-stock company specializing in providing integrated digital and technology solutions. Established in 1988, it is one of the nation’s pioneering technology firms. The Public Investment Fund owns Elm in its entirety, granting it a strategic position within the Kingdom’s digital transformation and knowledge economy agenda. Elm is active in developing technology services, IT consulting, digital products, and digital outsourcing solutions. Its expertise has linked its name to the development of e-government systems, digital infrastructure, and cybersecurity solutions. Today, Elm is a key technology arm of the state, executing strategic projects with various government entities and reinforcing its role in supporting Vision 2030.

The Public Investment Fund (PIF) was the sole owner of Elm until its stock market listing. Its role extends beyond shareholding to overseeing the company’s strategy and supporting it in executing major projects, particularly in government and vital sectors. The Fund follows an investment policy focused on developing future sectors, localizing technology, and enhancing the national economy’s efficiency. Elm’s journey is a model of transforming a startup into a leading technology player, while maintaining expansion and sustainability objectives. The Fund provides robust capital and a network of relationships that help Elm secure local and international partnerships, and it supervises the appointment of the company’s board to ensure high governance standards and clear strategic direction.

Elm was listed on the Saudi Stock Market (Tadawul) on February 16, 2022, marking a milestone as the first fully PIF-owned technology company to be listed on the main market. At the IPO, the company offered 24 million new shares at SAR 128 per share, giving it an initial market capitalization of around SAR 10.2 billion. Following the listing, the stock saw significant price growth, with market capitalization reaching approximately SAR 12 billion by the end of 2024. Elm’s listing supported the market’s shift toward the technology sector, signaled state confidence in such investments, and opened the door for other tech companies to follow suit.

Elm’s services span several vital technology fields. Its main activities include developing e-government solutions, digital outsourcing, building digital platforms, and providing IT consulting for both public and private sectors. In recent years, the company has expanded into artificial intelligence, big data, information security, and the Internet of Things. Elm acts as a strategic partner in implementing national digital transformation programs, participating in smart city projects, and developing digital payment, health, and education platforms. These activities make Elm a key player in developing the Kingdom’s digital infrastructure and a main driver of Vision 2030 objectives.

Elm’s financial assessments are based on its post-listing performance. The company has about 80 million issued shares, with trading prices ranging from SAR 140 to 160 per share, resulting in a current market capitalization of around SAR 12 billion. The company’s price-to-earnings (P/E) ratio ranges from 20 to 25, which is average for the tech sector and reflects expectations of future growth. Elm has not announced dividend distributions up to mid-2025, focusing instead on reinvesting profits into expansion and new government projects. Financial reports indicate a notable increase in revenues and profits, driven by an expanding client base and growing demand for digital services in the Kingdom.

As of 2025, Elm has not issued cash dividends to shareholders. The main reason is the company’s current strategy, which prioritizes expansion and investment in new projects over distributing profits. This approach is common among emerging tech companies, where strengthening capital and expanding the business base are preferred to ensure sustainable growth. As revenues stabilize and profits grow in the coming years, the company may reconsider its dividend policy, typically after completing its initial growth phase and achieving stable profit margins.

The technology and IT sector in Saudi Arabia is among the fastest growing, supported by government policies toward digital transformation. Smart city projects, e-government, and digital business solutions have driven rising demand for tech companies. Elm holds a leading position in this sector thanks to government support, major projects, and strategic partnerships. The company faces competition from telecom firms (such as STC and Mobily), local tech service providers, and global companies like Oracle and Microsoft. The sector is rapidly evolving in areas like AI, big data, and fintech, offering wide growth prospects but also intensifying competition.

Elm competes with several entities both within and outside the Kingdom. Domestically, its rivals include government tech firms such as the National Data Company, major telecom operators (STC, Mobily, Zain), and emerging private tech companies. Internationally, the Saudi market has seen the entry of global players like Microsoft and Oracle through partnerships or government projects. Competition spans digital platform development, outsourcing solutions, and information security. Some companies partner with Elm on certain projects while competing in others. Elm balances maintaining strategic partnerships with developing proprietary products that set it apart from competitors.

Saudi Vision 2030 placed digital transformation among its top priorities, which has directly fueled Elm’s growth. Multiple government initiatives in digital transformation, smart city development, and support for local tech talent have provided Elm with exceptional opportunities for expansion. The company has secured major contracts with government agencies and has been tasked with executing national strategic projects. Continuous support from the Public Investment Fund has further enhanced Elm’s competitiveness and ability to invest in advanced technologies. Elm stands as a successful national model leading the shift toward a digital economy under the national vision.

In 2024 and 2025, Elm continued executing expansion strategies, signing new contracts with government entities and launching innovative digital products. Key developments included contracts with major ministries and authorities to develop digital payment systems, electronic health and education platforms, and expand smart city solutions. The company also began integrating AI and blockchain technologies into its products. Financially, quarterly reports showed steady revenue growth, with expectations for this trend to continue due to increased government spending on technology. Elm also expanded international partnerships to localize advanced technology, strengthening its regional and global presence.

Elm has a clear ownership structure, with the Public Investment Fund holding the majority of shares, while a portion was offered to the public at listing. The company’s board of directors brings extensive expertise in technology and management, with members appointed by the Fund to ensure effective governance and alignment with national strategy. Elm adheres to disclosure and transparency standards set by the Capital Market Authority, issuing quarterly and annual reports to allow monitoring of its financial and operational performance. This structure enhances investor confidence and reinforces sustainable growth.

Elm’s stock performance is influenced by several factors, including overall financial results, new government contract signings, technological developments, and state digital transformation policies. Changes in market structure, entry of new competitors, and regulatory shifts also impact the stock’s movement. The tech sector is inherently fast-changing, making the stock’s performance closely tied to Elm’s ability to keep pace with global trends and adopt innovative solutions. In this environment, the company’s agility and adaptability to a dynamic market are key to its success.

With digital transformation continuing in Saudi Arabia, Elm is expected to further expand across various tech sectors, especially as government and private entities increasingly rely on digital solutions. The adoption of new technologies such as AI, cloud computing, and the Internet of Things will further strengthen Elm’s position. Ongoing support from the Public Investment Fund provides Elm with financial and strategic strength to invest in future projects. As competition intensifies, the company will need to maintain continuous innovation and service quality to remain at the forefront of national tech companies.