LONDON—A Safavid rug from late 16th- or early 17th-century Persia sold for £2,729,250 ($4.34 million) today at Sotheby’s in London, more than 20 times its presale estimate of £80–120,000.

The silk and metal-thread prayer rug went to an anonymous buyer after prolonged bidding in which at least five bidders vied for the piece. Inscriptions on the rug suggest it may have been a diplomatic gift from the Safavid Persian court to the Ottoman Turks, possibly on the occasion of the Peace Treaty between the two empires in 1590.

The rug was part of Sotheby’s "Arts of the Islamic World" sale, which totaled £7.9 million. One rug expert said the Safavid piece’s sale indicated “the astonishing interest in the most rare, one-in-the-world Near Eastern rugs that art connoisseurs and collectors are avidly seeking out,” adding that the rugs’ value levels have significant room for growth.

Read more at ArtDaily.

Read more about this Persian carpet in Art+Auction.