Saudi oil giant Aramco is ready to list on international markets alongside its
primary listing on the Saudi stock exchange, Aramco’s chief executive officer
Amin Nasser said on Tuesday, as the Kingdom has noticeably sped up the
timeline for what would be the world’s biggest-ever IPO.
“It is going to be the primary listing, to list locally, but we are ready
also for listing outside in other jurisdictions,” Nasser told reporters on
the sidelines of an industry event in Abu Dhabi, as carried by Reuters.
The top manager of the Saudi state oil firm reiterated that it’s up to the
sole shareholder of the company - the Kingdom of Saudi Arabia - to decide
when the listing will take place.
According to Reuters sources, Aramco’s board decided last month against
listing in New York - the venue reportedly preferred by Crown Prince Mohammed
bin Salman - because it would carry too many legal risks for the Saudi firm.
London, Hong Kong, and Tokyo have all been rumored at some point as possible
international venues for Aramco’s listing, and major changes to key positions
of power within the Oil Kingdom point to a decision being made in the very
near future. Related:
Anti-Aging Market To Hit $55 Billion
Last week, Saudi Arabia started to fast-track Aramco’s IPO, with Khalid
al-Falih losing both his role
as chairman of the board for Aramco and as the Kingdom’s energy minister.
Abdulaziz bin Salman, the King’s son and half-brother of Crown Prince
Mohammed bin Salman, is the new energy minister and represent a further
coalescing of power around the Crown Prince.
The extent of the shake-up within the energy and mining ministry and
Aramco signals that the Saudi leadership wants
the IPO done quickly and wants people who are very supportive of this
process in power, Helima Croft of RBC Capital Markets told CNBC last week.
Saudi Arabia’s new energy minister, Abdulaziz bin Salman, said
on Monday in his first public comments after taking over from al-Falih that
the Kingdom aims to have the IPO take place “as soon as possible.”
Nasser said on Tuesday that a domestic market listing would take place “very
soon.”
Saudi officials have approached some of the richest families in Saudi Arabia about
potentially becoming anchor investors in the IPO, Bloomberg reported earlier
this week.
By Tsvetana Paraskova for Oilprice.com
