KUWAIT CITY, March 30: The Kuwait Investment Authority sold about 20 million shares in the Mercedes-Benz group - nearly a quarter of its stake - after the automaker’s share almost quadrupled over the past three years, reports Al-Jarida daily. According to a statement published by “Bloomberg”, the KIA will own about 53 million shares after the completion of the share offering, which is part of an attempt to diversify its portfolio. With an “indicative price” share value of €69.27, the value of the stake offered for sale would be around €1.4 billion ($1.5 billion).

Mercedes shares closed up 0.6 percent at €71.89 on Tuesday in Frankfurt, trading near an all-time high. Mercedes CEO Ula Kallenius has focused on more profitable segments and scaled back its entry-level model offering, resulting in a 43% increase in the average price of a Mercedes since 2019. He has also spun off the luxury carmaker from commercial vehicle operation Daimler Holding Vehicles, in late 2021. Notably, Kuwait currently owns 6.8% of Mercedes, making it its thirdlargest owner, according to data compiled by Bloomberg. KIA is the oldest and one of the largest wealth funds in the world and has been a shareholder in Mercedes for nearly 50 years.