Saudi Arabia Is Finalizing What Could Be the World’s Biggest IPO

Source: fortune.com --- Tuesday, May 10, 2016
saudiarabia’s state-owned oil giant is finalizing options for its partial privatization and will present them to its Supreme Council soon, its chief executive said about the centerpiece of the kingdom’s efforts to overhaul its economy. The company has a huge team working on the proposals for the initial public offering (IPO) of less than 5% of the company’s value, which include a single domestic listing and a dual listing with a foreign market, CEO Amin Nasser said on Tuesday. They will be presented “soon” to Aramco ‘s Supreme Council, headed by Deputy Crown Prince Mohammed bin Salman, who is leading an economic reform drive to address falling oil revenue and sharp fiscal deficits by boosting the private sector, ending government waste and diversifying the economy. Nasser also said Aramco was seeking to expand globally via joint ventures in Asia and North America. “We are looking at the current market status that, even though challenging, is an excellent opportunity for growth,” Nasser said, adding that he was looking at opportunities in the United States, India, Indonesia, Vietnam and China. The CEO was speaking to reporters during a rare media visit to the company’s extensive, well-guarded Dhahran headquarters, located near where American oilmen first struck the Arabian Peninsula’s enormous crude reserves at Well Number 7 in 1938. brightcove.createExperiences();   Besides proposing to sell a stake in the company, which would r ...