Saudi Arabia scales back plan for Aramco’s massive IPO
19 Mar 2018
Saudi Arabia is scaling back its ambitions for a public offering for oil giant Aramco, moving ahead with a listing next year solely on the Saudi stock exchange while taking more time to decide if an international venue is worth it, government officials and others close to the process say.
The decision has come in part because of concerns about legal risks and also because the need for a bigger listing has been negated by rising oil prices.
Aramco’s listing was expected to raise as much as $100 billion on an international arena like New York — a move that also got the support of President Donald Trump, who publicly called for Aramco to list in the U.S.
Crown Prince Mohammed bin Salman, who runs the day-to-day affairs of the oil-rich kingdom has become resigned to the idea that the legal risks of a U.S. listing could be insurmountable, said Saudi officials and people close to the process.