Saudi Telecom Company (STC) has announced that it now controls 9.97% of Telefónica's capital and is seeking to secure a seat on the company's board of directors. This move comes after STC converted its derivatives into shares just before the recent leadership change at Telefónica, following the departure of former CEO José María Álvarez-Pallete. STC's acquisition positions it as a significant stakeholder in the telecommunications giant, and the company plans to initiate discussions with Telefónica regarding its board representation. Analysts are closely monitoring the implications of this development for Telefónica, especially in light of the company's ongoing strategic shifts and potential interest from other investors in its Argentine operations.