Ahead of its hugely publicised initial public offering, IPO, Saudi Aramco has released the valuation for the world’s state-owned corporation.
The IPO which has reserved two third of the value to for Saudi retail investors valued Saudi Aramco between $1.6 trillion to $1.7 trillion. This is a far cry from the $2 trillion valuation disclosed by Saudi Crown Mohammed bin Salman in 2016.
Aramco is seeking as much as $25.6 billion by selling a 1.5% stake. The company would raise $24 billion if the deal prices at the lower end. The IPO target is just a little above of the $25 billion raised by Alibaba Group Holding this year at the Shanghai Stock Exchange.
Still, the IPO makes the Aramco offer the largest in history, a milestone that could further open up the world’s largest and most profitable company.