Home / Business / Saudi Aramco is reportedly kicking off its massive IPO this Sunday and plans to debut trading on December 11

Saudi Aramco is reportedly kicking off its massive IPO this Sunday and plans to debut trading on December 11

FILE PHOTO: The Saudi Aramco logo pictured at the company's oil facility in Abqaiq, Saudi Arabia, October 12, 2019. REUTERS/Maxim Shemetov Reuters

  • Saudi Aramco has been preparing for a mammoth IPO, and the process could get underway as soon as Sunday according to Reuters. 
  • Three sources told Reuters that Aramco was looking to start the process of floating 1% to 2% on the Saudi Arabian Tadawul market, on November 3. 
  • Bloomberg reported, citing state TV channel, Arabiya, that Aramco will start trading on December 11. 
  • Aramco’s IPO is expected to be the largest on record, with the company possibly being valued at $1.5 trillion.
  • View Business Insider’s homepage for more stories. 

Oil-giant Saudi Aramco could start the process for its mammoth IPO as soon as this Sunday, according to Reuters, as the company gears up for what could be the largest public offering on record.

Three unnamed sources told Reuters that Aramco will “announce the start of its initial public offering” on November 3, after delaying the initial process to “secure cornerstone investors.”

Bloomberg reported that state TV channel, Arabiya, said that Aramco “will start trading on” December 11.

Aramco’s IPO has been hotly anticipated by investors as it could be one of the largest on record. Reuters added that Aramco is looking to float 1% to 2% of the stake on Saudi Arabia’s Tadawul market, which would be worth more than $20 billion.

If this is the case it would put Aramco’s valuation at roughly $1.5 trillion to $2 trillion, making it the largest public offering on record. 

“The government has struggled to persuade investors to accept its estimated $2 trillion valuation for the company, contributing to delays in the initial public offering,” Bloomberg wrote on Thursday. 

The IPO was also delayed due to the attacks on two Saudi Arabian oil facilities in September, which temporarily wiped out half of the country’s oil production. 

Aramco has also shelled out $450 million on adviser fees — JPMorgan and Morgan Stanley have been paid the most, according to Bloomberg.

Check Also

The FBI is now investigating the Pensacola Navy base shooting as act of terrorism – Business Insider

http://uk.businessinsider.com/pensacola-shooting-terrorism-fbi-investigating-2019-12

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.