This archive report was first published on 18 November 2019.
On November 17, 2019, Saudi Arabia's state-owned oil giant Aramco announced plans to sell a 1.5% stake in the company, aiming to raise as much as $25.6 billion (Sh2.6 trillion) from the sale. The move comes as the company's valuation fell short of the $2 trillion mark sought by Crown Prince Mohammed bin Salman.
The sale will involve 200 billion regular shares, with 1.5% or three billion shares being sold. Aramco has set a stock price range of 30 to 32 Saudi riyals, or $8 (Sh824) to $8.50 (Sh875) a share for investors.
The company will sell 0.5% to individual investors, including Saudi citizens, residents of Saudi Arabia, and Gulf Arab nationals, and one per cent to institutional investors, which could include major Chinese and Russian buyers. Aramco will announce the final price for the stock when the book-building period ends on December 5.
Trading on the local Tadawul exchange in Riyadh is expected to happen sometime in mid-December. The highly anticipated sale of a sliver of the company has been generating global buzz.
