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So the market was expecting the investor to exceed their regulator limit? That doesn't make sense. What am I missing?

• lordnacho 4y ago
  The investor is basically an extension of the Saudi state, so it's not unthinkable that if they wanted to, there would be an exception made.
  • asah 4y ago
    ...or another entity spun-up to make this investment.
  • cm2187 4y ago
    I suspect it has more to do with accounting standards. After a certain % ownership you need to consolidate the entity in your group, which from a regulatory capital point of view means consolidating all of the RWAs while not getting credit for all the capital in the entity.
• pestatije 4y ago
  It might be that it's not a forbidden limit but a limit with strings attached
• Rexxar 4y ago
  Or the majority of market participants were not aware of this limit.