Qatar’s Investment Authority announced plans to decrease its stake in Sainsbury’s, which led to a decline in shares for the retailer.

The sovereign wealth fund plans to sell up to 98m ordinary shares, which will lower its current stake in the retailer from 10.5% to 6.8%.

This decision marks the end of the QIA’s almost 20 years of being the supermarket’s biggest investor.

Sainsbury’s shares fell by around 4% on Wednesday (3 December) after the official announcement was made.

There was no reason disclosed for the sale of shares by the investor. The final price per placing share and the final number of placing shares are set to be determined by a bookbuilding process.

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The news comes as the retailer recently raised its profit outlook for the full year after posting strong results in the first half of the year.

Sainsbury’s saw its retail underlying operating profit increase by 0.2% year-on-year to £504 million in the six months to 13 September.

Prior to the announcement, in November the supermarket retailer’s shares had increased by 23% so far this year.

The chief executive was confident in the retailer’s ability to deliver results while going into the busy Christmas trading period.