Aramco to launch its IPO, who is next?

Aramco to launch its IPO, who is next?

/ Editor’s Letter / Sunday, 20 October 2019 11:02

Saudi Aramco was expected to launch the first part of a two-stage IPO earlier in October, but the process has been delayed, reportedly due to the prince's dissatisfaction with the valuation of the firm, which had been hoped to reach $2 trillion.

The long-awaited initial public offering will now happen on December 11 in the Riyadh stock market, according to what Saudi-owned Al-Arabiya television said.

The Saudi government is looking to cash trillions of dollars from this IPO, and make Aramco among the largest public listed oil companies in the world.

But, as per analysts, the success of Aramco’s listing may urge more government-owned oil companies to follow suit, even OPEC members who are keeping an eye on Aramco’s listing. According to analysts, ADNOC (UAE) and KOC (Kuwait) may consider the same step but nothing’s confirmed yet.

Let us wait for Aramco’s IPO results, and in case of success, it may change the way governments manage their oil industry income.

Latest Issue

Please publish modules in offcanvas position.