Question 26

A query has been raised regarding the Saudi experience and “Hostile Takeover”. It has been suggested that the premise for this trip to Riyadh was clearly false, since Hostile takeovers began to take place in the 1970s and 1980s, yet were still rare in London and New York. The Saudi stock market was not even in existence in the early 1980s (link given). The Saudi stock market only opened to foreigners in 2011 (link given).

Taming the Tiger does not record the companies in question as being in Saudi Arabia. When asked about this, Tony explained the target company was in another country where the ‘Fahali’ brothers had extensive investments.  His client’s business partners’ headquarters were in Riyadh (see page 77).  It was a common business practice for wealthy business people to travel to their associates’ country/countries of origin to discuss any disputes arising.  The nature and the place of these disputes did not necessarily relate to any immediate geographical connection with choice of meeting venue.  The wealth of the Arabian people was renowned. The 1980s was the decade which held the height of hostile takeovers and when incidence of corporate raiding abounded There are many, many other references on the World Wide Web.