Iran will sell about 10% of holdings in one of its largest state-managed investment companies on the Tehran Stock Exchange to raise money for the government's efforts to contain the coronavirus, President Hassan Rouhani said at a cabinet meeting.
The Social Security Investment Co., also known as SHASTA, is the investment arm of the organization that provides benefits, health coverage and pension payments to some 40 million Iranians.
The main index of leading shares on the TSE climbed 3% in midmorning trading, according to data on the exchange's website, extending gains it made this week after hitting a record high partly on anticipation of Wednesday's sale.
Mr. Rouhani didn't give details or a valuation for the units sold. Some 82 companies belonging to SHASTA have already been sold off, representing about 80% of its entire portfolio of assets, the semiofficial Iranian Labour News Agency reported, quoting the managing director of SHASTA, Mohammad Rezvanifar.
In February 2016, SHASTA announced a major plan to sell almost half of its companies and was looking for foreign partners to help it manage and expand its $15 billion in assets soon after the landmark nuclear deal had been implemented. The U.S. withdrew from the accord in 2018 and has since ramped up sanctions on Iran.