The Saudi Arabian Capital Market Authority said in a statement on Sunday that it had approved an application for a list of shares in Saudi Aramko. He did not say when the long-awaited IPO would take place or give details of its size.
Aramco has huge reserves of oil and massive daily production. He owns a monopoly in Saudi Arabia, the largest exporter of crude oil in the world.
public offering is part of Saudi Crown Prince Mohammed bin Salman's plan to take away the country oil and development of other areas of the economy. But downloading a massive IPO was a difficult process, full of false starts.
The Saudi government initially discussed the floating 5% of the company in 2018 in a deal that will raise $ 100 billion. He toured international markets such as New York or London, as did Riyadh.
But the project was canceled amid concerns over legal complications in the United States, as well as doubts over the $ 2 trillion estimate sought by bin Salman – only to be revived earlier this year after Aramco pulled off a hugely successful international bond sales.
Estimates of how much flotation will grow vary widely. Bin Salman is reportedly seeking the deal to value Aramco at $ 2 trillion; analysts are betting it no higher than $ 1.5 trillion. Selling as much as 1% of the company at the bottom of that range would fetch $ 15 billion, while selling 2% at the top could generate $ 40 billion, eclipsing the record $ 25 billion IPO of Alibaba ( BABA ) in 2014.
– Sugam Poharel brought the reports.