Saudi Aramco IPO set to value company up to $2.3 trillion

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DUBAI (REUTERS) - Saudi Aramco has set a price range for its listing that implies the oil giant is worth between US$1.6 trillion to US$1.7 trillion (S$2.3 trillion), below the USUS$2 trillion the Saudi crown prince had targeted but still making it potentially the world's biggest IPO.. Read more at straitstimes.com.

DUBAI - Saudi Aramco has set a price range for its listing that implies the oil giant is worth between US$1.6 trillion to US$1.7 trillion , below the US$2 trillion the Saudi crown prince had targeted but still making it potentially the world's biggest IPO.

Aramco's float is the centrepiece of Crown Prince Mohammed bin Salman's plan to diversify the world's top crude exporter away from oil. But the investment world is still trying to decide what the famously secretive company is worth. Analysts from banks working on the Riyadh bourse had projected a wide valuation range for Aramco of between US$1.2 trillion to US$2.3 trillion.

The deal is also rife with political risk as the Saudi government, which relies on Aramco for the bulk of its funding, will continue to control the company. Prince Mohammed's reputation was tarnished by the murder of Saudi journalist Jamal Khashoggi last year. Retail investors have until Nov 28 to sign up for the IPO while institutional investors can subscribe until Dec 4, with company management going on marketing roadshows this week.

 

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