Saudi Aramco delays planned IPO: FT

(Reuters) – Saudi Aramco has delayed the planned launch of its initial public offering (IPO), the Financial Times reported on Thursday, citing three people familiar with the matter.

The world’s largest oil firm was to announce plans next week to float a 1% to 2% stake on the kingdom’s Tadawul market before a possible international listing, according to Reuters.

Saudi Aramco wanted to wait until it could provide clarity on its most recent quarterly earnings following attacks on Saudi infrastructure last month that temporarily halved production, the FT reported here

Saudi Aramco did not immediately respond to a Reuters’ request for comment outside regular working hours.

The IPO announcement has been “delayed but not been pulled”, the newspaper said, citing one of the sources. The listing has been delayed by “weeks”, it added, citing another source.

Aramco’s Riyadh listing is the first step towards an eventual sale of up to 5%, sources have told Reuters.

The prospect of the world’s largest oil company selling a piece of itself has had Wall Street on tenterhooks since Crown Prince Mohammed first flagged it three years ago.

Initial hopes for a blockbuster international listing of around 5% were dashed when the share sale was halted last year amid debate over where to list Aramco’s shares overseas.

Saudi investors see the IPO as a chance to own part of the kingdom’s crown jewel and an opportunity to show patriotism after the attack.

Source: Read Full Article