Saudi Aramco requests banks’ proposals to participate in its forthcoming IPO.
Aramco has formally asked major banks to submit proposals for possible roles in its forthcoming IPO, which could become the largest IPO the world has ever seen, according to Reuters.
More than $100bn is expected to be raised as a result of introducing stake of Aramco to IPO, which is planned to take place between 2020 and early 2021.
Aramco had appointed JP MORGAN, MORGAN STANLEY and HSBC to play a key role in the IPO in 2016, before postponing the IPO after acquiring a 70% stake in Saudi Basic Industries Corp. (SABIC).
Aramco made a net profit of $47bn in the first half of this year, while revenues and the rest of sales-related income were about $164bn.
Aramco began publishing its financial results in preparation for its first international bond sale, which showed it to be the world’s most profitable company.
Aramco recently signed a letter of intent to acquire 20% of the Indian Reliance’s oil-to-chemicals conversion activities, one of the largest foreign investments ever attracted by India.