Saudi Arabia’s sovereign wealth fund has agreed to buy a minority stake in Italian supercar maker Horacio Pagani SpA.

The investment by the Public Investment Fund, which is part of a long-term strategic partnership with the Italian company, will support the hypercar maker's development, the companies said in a joint statment on Thursday.

They didn't disclose either the size or the value of the stake. 

The Pagani family will keep full control of the company, with the PIF joining Italian minority shareholders Nicola Volpi and Emilio Petrone, according to a statement.

Horacio Pagan, Founder, Chief Executive Officer and Chief Design Officer, said the partnership with PIF, “…(was) a key step in our long-term growth strategy, which envisages significant investments to ensure that our next hypercars will keep conveying unique emotions, irrespectively of their powertrain technology.”

PIF represents the ideal partner to further consolidate Pagani positioning as an iconic brand in the hypercars segment as well as to support its expansion strategy in the lifestyle segment," he said.

UBS Investment Bank acted as Pagani’s financial adviser. Withers Studio Legale acted as legal adviser to the selling shareholders. Rothschild & Co and Freshfields Bruckhaus Deringer acted as PIF’s Financial Advisor and Legal Advisor, respectively.

For PIF the latest acquisition is part of its long-term strategic goal of building an international portfolio of investments to help diversify the Kingdom’s economy and create new jobs. It manages $400 billion in assets and plans to double its assets to over $1 trillion by 2025.

The fund, which has a small stake in Tesla, has also invested more than $1 billion in EV maker, Lucid Group.

(Writing by Brinda Darasha; editing by Seban Scaria)

brinda.darasha@refinitiv.com

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