By Adria Calatayud

Spanish state holding company SEPI is exploring the possibility of buying a stake in Telefonica, according to a regulatory filing dated Monday.

The news comes after Saudi Telecom Co. said last month it had taken a 9.9% stake in the Spanish telecommunications company for 2.1 billion euros ($2.23 billion) through a direct acquisition of a 4.9% interest in the company and through financial instruments that provide an exposure of over a further 5% of its share capital.

STC's purchase drew attention from Spanish government officials, who said they would analyze the move.

Write to Adria Calatayud at

(END) Dow Jones Newswires

10-31-23 0332ET