Saudi Aramco shares priced at top of range in world's biggest IPO
Reuters
Published Dec 05, 2019 02:04PM ET
Saudi Aramco shares priced at top of range in world's biggest IPO
DUBAI (Reuters) - State-owned oil giant Saudi Aramco has priced its initial public offering (IPO) at the top of its indicative range, the company said on Thursday, making it the world's biggest flotation by raising more than Alibaba's (N:BABA) $25 billion listing in 2014.
Saudi Arabia relied on domestic and regional investors to sell a 1.5% stake after lukewarm interest from abroad, even at the reduced valuation of $1.7 trillion, which was below the $2 trillion target initially sought by Crown Prince Mohammed bin Salman.
Aramco scrapped roadshows in New York and London after foreigners baulked at the valuation and raised concerns about corporate transparency. Instead, it focused on marketing the Riyadh listing to Saudi investors and wealthy Gulf Arab allies.
Saudi banks had offered citizens cheap credit to bid.
(Graphic: Oil giant Saudi Aramco's IPO link: https://fingfx.thomsonreuters.com/gfx/editorcharts/ARAMCO-IPO/0H001QXCB8V0/index.html)
(Graphic: Saudi Aramco vs. Oil Majors link: https://tmsnrt.rs/34XI5R2)
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.