Privatisation
The transfer of ownership, management, or control of a state-owned enterprise to private sector entities, typically through a public offering of shares or a strategic sale. In Saudi Arabia, privatisation is a key element of Vision 2030’s economic diversification agenda.
White Knight (Strategic Partner / Allied Party)
In a hostile takeover context, a white knight is a friendly third party that rescues a target company from an unwanted acquirer by making a competing, more favourable offer. More broadly, a strategic ally or partner.
The right to purchase additional shares
It’s the opportunity given to a company’s existing shareholders to subscribe to additional shares in a new offering, in proportion to their current ownership, with the aim of preserving their rights from the dilution caused by the capital increase. This right is often granted at a discounted price below the market price to encourage participation.
Custody (Safekeeping)
The service of holding and safeguarding securities and other financial assets on behalf of clients by a licensed custodian, which is responsible for settlement, corporate action processing, and record-keeping.
Precautionary Attachment (Interim Injunction on Assets)
A court-ordered legal measure to temporarily freeze or restrict the transfer of assets belonging to a defendant or debtor, pending the resolution of a legal dispute or judgment.
Rating Agency (Credit Rating Agency)
An independent organisation authorised to assess and publish credit ratings for issuers of debt securities, sovereign governments, and financial instruments, reflecting their creditworthiness and capacity to meet financial obligations.
General Assembly (General Meeting)
A formal meeting of a company’s shareholders at which key corporate matters are deliberated and voted upon, including the approval of financial statements, election of board members, dividend distribution, and major corporate decisions. May be ordinary (held annually) or extraordinary (called for specific purposes).
Diversification
An investment risk management strategy of spreading capital across a variety of assets, sectors, geographies, or instruments to reduce the impact of any single investment’s poor performance on the overall portfolio.
Execution (Order Execution)
The completion of a buy or sell order for a security at an agreed price by a broker or trading platform on behalf of a client.
Staged Financing (Tranche Financing)
A financing arrangement in which capital is provided in multiple instalments or tranches, tied to the achievement of agreed milestones rather than being disbursed all at once.