Will Saudi Aramco Shelve its IPO?
Saudi Aramco insisted over the weekend that its plan to list part of the world's biggest oil company on international markets remains on track and said it was still considering venues for an IPO that could value the group at $2 trillion.
The group, Saudi Arabian Oil Co., hit back at an FT report last week that suggested the listing could be postponed, or cancelled altogether, in favor of a private placement sale to sovereign wealth funds and central government investors. The FT report, which cited five sources familiar with the process, said the company was struggling to find a suitable international venue to compliment a domestic flotation.
Earlier this month, Saudi Arabia's Energy Minister, Khalid A. Al-Falih, told the Russia Energy Week forum in Moscow that no location for next year's hottest IPO had been decided, but that the process to float the world's most-valuable company was nonetheless on track.
"The government is proud of what the company has achieved and wants the world to enjoy its products," he said, add it sees the listing as an "opening" for relations between Riyadh and the rest of the world.
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