• 3 minutes This Battery Uses Up CO2 to Create Energy
  • 5 minutes Shale Oil Fiasco
  • 9 minutes Don't sneeze. Coronavirus is a threat to oil markets and global economies
  • 12 minutes Historian Slams Greta. I Don't See Her in Beijing or Delhi.
  • 11 hours Boris Johnson taken decision about 5G Huawei ban by delay (fait accompli method)
  • 1 hour Demand for Diesel vs. Oil
  • 1 hour China gets caught?
  • 2 hours Which type of Hegemony will China follow
  • 2 days Governments that wasted massive windfalls
  • 14 hours Yesterday POLEXIT started (Poles do not want to leave EU, but Poland made the decisive step towards becoming dictatorship, in breach of accession treaty)
  • 2 days Here is Why People Lose Money Trading Natural Gas
  • 2 days We're freezing! Isn't it great? The carbon tax must be working!
  • 15 hours Environmentalists demand oil and gas companies *IN THE USA AND CANADA* reduce emissions to address climate change
  • 1 day Tesla Will ‘Disappear’ Or ‘Lose 80%’ Of Its Value
  • 2 days Let’s take a Historical walk around the Rig
  • 2 days US Shale: Technology

Breaking News:

Oil Prices Rise On Surprise Crude Draw

The Hottest Energy Conflict Right Now

The Hottest Energy Conflict Right Now

Belarus has just bought two…

The Smart Cell Turning Solar Energy Into Hydrogen

The Smart Cell Turning Solar Energy Into Hydrogen

Researchers have created a new…

Saudi Aramco’s IPO Oversubscribed, Reels In $44 Billion

Aramco IPO

Saudi Arabia’s oil giant Aramco has attracted total bids of US$44.3 billion for its initial public offering—or 1.7 times the money the Kingdom hopes to raise with the world’s largest listing ever.

According to one of the IPO’s lead managers, Samba Capital, quoted by Bloomberg, the IPO has attracted a total of 166 billion Saudi riyals as of Friday, after the subscription period for retail investors ended on Thursday, and less than a week before the end of the subscription period for institutional investors.

Saudi Arabia will be offering up to 0.5 percent in Aramco to retail investors, while in total the Kingdom plans to list 1.5 percent of the company on the Saudi stock exchange, the Tadawul.

Aramco has set an indicative price range of 30-32 Saudi riyals, (US$8-8.52), per share, in its long-awaited initial public offering, which would give the company a total value of some US$1.7 trillion. Saudi Arabia aims to raise more than US$25 billion from selling 1.5 percent in its crown jewel.

Over the past week, Aramco’s IPO has drawn more bids than in the period to November 21, when the orders were nearly US$20 billion.

The Kingdom has doubled the leverage limits for loans that banks will extend to domestic retail investors who want to buy shares, looking to ensure that more retail customers will buy shares.  

The retail portion of the IPO has already been oversubscribed, Samba Capital said on Thursday, when the retail subscription period expired.

The institutional subscription periods ends on December 4, and Aramco will announce the final offer price of the IPO on December 5. 

Seeing that foreign institutional investors are not rushing to buy shares, Saudi Arabia is said to be tapping friendly governments in the Persian Gulf region to ensure the success of the IPO. Kuwait and Abu Dhabi may invest US$1 billion and US$1.5 billion in Aramco’s offering, respectively.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage


Leave a comment
  • t t on November 30 2019 said:
    44 billion as bids! Never imagined that it will reach this number.
    I believe everyone following the news on Saudi Aramco is more excited to see the numbers of the foreign institutional shares.

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play