Saudi Arabia has honed in on New York, London and Hong Kong – either individually or possibly in combination - for the international component of the initial public listing of national oil company (NOC) and global leader Aramco, reported Reuters.
The kingdom’s own Tadawul stock exchange is also a key part of the anticipated listing, which is expected later this year. The news means that the likes of Tokyo, Toronto and Singapore are no longer being considered by the firm.
Saudi Crown Prince Mohammad bin Sultan will ultimately decide whether the flotation will go ahead and how much of the firm will be made available for acquisition. It is expected around 5 per cent of the oil giant will be offered, potentially raising $100 billion, making it the world’s largest ever initial public offering (IPO).
Sources told Reuters it is possible the NOC may choose a phased approach to the IPO, with the local portion first, while more than one of the international exchanges could be chosen as destinations for the listing.