Saudi Aramco to Raise $11.2B in Stock Offering

Saudi Aramco to Raise $11.2B in Stock Offering

Saudi Arabia is poised to raise more than $11.2 billion, selling about 60% shares in oil giant Aramco to International investors, aiming to bolster funds for the country’s spending plans, according to Bloomberg.

The shares opened at 27.95 riyals a share, after closing the previous session on Thursday at 28.3 riyals but climbed to 28.35 riyals by 7:30 GMT. The secondary share sale’s final price was set at 27.25 riyals, towards the lower end of the given price range.

According to Reuters, this share generated strong demand from international markets, with orders originating from the US, Britain, Hong Kong, and Japan, and elsewhere in Asia.

The share sale that drew orders worth more than $65 billion in total.

This deal comes as the government, which owns an 82% stake in Aramco, has been seeking to lure international investments to channel billions of dollars into mega projects to diversify away from its reliance on oil.

According to 2030 vision spearheaded by Crown Prince Muhammed Bin Salman, Saudi Arabia plans to transform the economy focusing on funding enterprises such as electric vehicles to building futuristic cities in the desert, that is channeled via its $925 billion public investment fund (PIF).

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Doaa Ashraf 462 Posts

Doaa is a staff writer with a Bachelor's Degree in Mass Communication, majoring Journalism from Ahram Canadian University. She has 2-3 years of experience in copywriting, and content creation.

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