Oil observers are keeping a close watch on the IPO because of its sheer size and Aramco’s role as de-facto chief of the Organization of the Petroleum Exporting Countries (Opec), as well as being the supplier of 10 million barrels per day (bpd), which meets a 10th of global oil demand at present.
(Dec 2): You have heard it. Oil giant Saudi Aramco has begun the book-building exercise for possibly the largest IPO ever, given its plans to raise up to US$25.6 billion ($34.9 billion) from investors looking to participate in the most profitable company in the world.
The proposed listing, though smaller-than-expected now, involves a mere 1.5% stake, or 30 billion shares, in the Saudi oil giant. With an indicative value of SAR30 to SAR32 a share, this values the whole company at US$1.5 trillion to US$1.7 trillion.
