Lola Evans
18 Nov 2019, 20:57 GMT+10
RIYADH, Saudi Arabia - What is being billed in the Saudi kingdom as the "Sale of the Century" - the initial public offering of shares in Saudi Aramco opened on Sunday.
The Kingdom is selling 3 billion new shares in Aramco, equating to 1.5% of the shares on issue, for between SR30 ($8) and SR32 per share, which will value the company at between $1.6 trillion and $1.7 trillion.
The number is slightly below the $2 trillion the Crown Prince Mohammad bin Salman had touted originally, but nonetheless will make Saudi Aramco the richest company on earth.
A prospectus for the IPO was issued on 9 November, while the offering period for Institutional Subscribers which began on Sunday will close on 4 December.
The offering period for Individual Subscribers which also began on Sunday will end on 28 November.
"My first impression is that the price is a sensible compromise and that it will sell the IPO," Tarek Fadhallah, CEO of Nomura Asset Management in the Middle East, told Arab News on Sunday.
The final price of the shares will be set at the end of the "bookbuild," which will assess the institutional and individual investors bids.
The IPO will raise between $24 billion and $25.6 billion.
Saudi Aramco will assist the bookbuilding process by committing to a purchase of $1 billion in shares, to be set aside for an incentivisation program for employees.
Get a daily dose of Europe Sun news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Europe Sun.
More InformationLONDON - Prime Minister Boris Johnson's Conservative Party will win an overwhelming victory in Britain's election with a majority of ...
BETHLEHEM, Palestinian territories - Israel announced Thursday that Christians in the Gaza Strip will be barred from visiting Holy cities ...
NIAMEY, Niger - At least 71 soldiers were killed and twelve others sustained injuries in a deadly terror attack that ...
BAGHDAD, Iraq - As protests in Iraq enter their third month, the numbers of arrests, abductions, and killings of protesters ...
SYDNEY, Australia - Two Australian schoolboys severely injured in the White Island volcano eruption in New Zealand on Monday have ...
WASHINGTON, DC - An executive order issued by President Donald Trump interpreting members of the Jewish religion as part of ...
NEW YORK, New York - U.S. stocks hit record highs on Thursday as reports circulated that the U.S. and China ...
Public Protector Busisiwe Mkhwebane has reflected on the work her office has done this past year, saying it received positive ...
FRANKFURT, GERMANY - Central banks in the United States and Europe say they've done their part to help the economy ...
For the fourth consecutive time, the Brazilian Central Bank lowered the economy's benchmark interest rate. Its committee unanimously decided to ...
Mumbai (Maharashtra) [India], Dec 12 (ANI): Equity benchmark indices mirrored global sentiment and extended gains after making a positive start ...
George Laurer, who invented the universal product code, has died at his home in North Carolina. He was 94.The UPC ...