Business

Saudi Arabia has called off Aramco float, report suggests

[ad_1]

Saudi in Saudi Aramco's officesImage copyright
Reuters

Saudi Arabia is reported to have cancelled its plans to sell shares in state oil giant Aramco, which had been billed as the largest flotation ever.

The group of financial advisers working on a plan to sell 5% of the company domestically and internationally has been disbanded, Reuters reports.

The wire service quoted a source suggesting the decision was taken some time ago but is not being announced.

Neither Saudi Aramco nor the Saudi Royal Court has commented on the story.

Mohammed bin Salman, Saudi Arabia’s Crown Prince had proposed the share sale as part of his economic reform agenda, bringing western regulation and scrutiny to the company.

However, rumours emerged last autumn that the flotation might be cancelled.

It was thought then that the government might instead sell Aramco shares privately to the world’s biggest sovereign wealth funds and institutional investors.

Both New York and London have vied to host the listing, which was expected to be the biggest flotation in history and would have valued Aramco at around $2 trillion (£1.55 tn).

[ad_2]

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *