Saudi Arabia’s state energy company,Aramco, is expected to make its stock market debut in December after regulators approved what would be the the biggest biggest ever initial public offering.
The Saudi Capital Markets Authority did not give any details of the IPO, which would raise billions of dollars for the kingdom, but it is expected to begin trading in mid-December.
The Saudi-owned news channel, Al-Arabiya, said on Sunday that Aramco would release the prospectus for its listing on 10 November.
The markets regulator “has issued its resolution approving the Saudi ArabianOilCompany (Saudi Aramco) … application for the registration and offering of part of its shares ”, It said in a statement on its website.
The sale, which could value the company at up to $ 1.7tn, is the linchpin of Crown Prince Mohammed bin Salman’s plan to revamp the economy and wean it off a decades-long dependence on oil. )
Aramco is expected to sell 5% of the company on two exchanges, with an initial listing of 2% on the Tadawul Saudi bourse in December.
That will be followed next year by a 3% listing on an overseas exchange, which has yet to be picked.
Aramco was expected to launch the first part of the two-stage IPO in October,but the process has been delayed, reportedly due to the prince’s dissatisfaction with the valuation of the firm, which fell short of the hoped for $ 2tn.