• About
  • Contact
Tuesday, January 26, 2021
Next Big Brand
  • .
  • News
  • Internet
  • Startup
  • OTT
  • Agency
  • Industries
  • FMCG
  • Automobile
  • Retail
  • Tech
  • Case Study
  • Interview
No Result
View All Result
Next Big Brand
Home Industries

Saudi Aramco Garners $25.6 billion In The World’s Largest IPO

Pritish raj by Pritish raj
December 6, 2019
in Industries, News
3 min read
0
Saudi Aramco IPO- Next Big Brand

Saudi Aramco- Next Big Brand

Share on FacebookShare on Twitter
  • Saudi Aramco raised $25.6 billion from the largest IPO in the world, completing a deal that became synonymous with the crown prince of the kingdom.

Saudi Aramco raised $25.6 billion from the biggest initial public offering (IPO) in the world, completing a deal that became synonymous with the divisive crown prince of the kingdom and his efforts to reshape the oil-rich nation.

The state-owned oil giant set its share final price at 32 riyals ($8.53), valuing $1.7 trillion for the world’s most profitable company. It got $119 billion in total bids.

For Crown Prince Mohammed Bin Salman, the sale may help restore legitimacy damaged by setbacks to his strategy to reform the economy and a global reputation tarnished by the assassination of columnist Jamal Khashoggi of the Washington Post and the Yemen War.

Crown Prince Of Saudi Arabia- Next Big Brand
Vision Of Crown Prince Of Saudi Arabia is finally on the ground.

But the deal ended up somewhat different from what the prince had foreseen when, in 2016, he first floated the idea intending to raise as much as $100 billion. Aramco offered just 1.5% of its stock and opted for a local listing after global investors balked at their expectations of $2 trillion worth of the company.

Alternatively, Aramco relied heavily on neighboring Gulf Arab monarchies ‘ local investors and funds. About 5 million people applied for shares in the deal for individuals. Closed on Wednesday, the institutional tranche received bids totaling 397 billion riyals.

The wealthiest families of the country, some of whom had members arrested during a so-called bribery crackdown in 2017 at Riyadh’s Ritz-Carlton hotel, were known to have made significant donations. When Saudi Arabia decided to focus on selling the shares to local and regional buyers, global banks working on the deal were sidelined.

However, once it starts trading, Aramco will become the most successful publicly traded company in the world, overtaking Microsoft Corp. and Apple Inc. The transaction opens up to investors and Saudi individuals one of the world’s most hidden firms, whose revenues have helped bankroll the monarchy and its royal family for decades. Until this year, in international debt markets, Aramco had never released financial statements or lent.

It will also mean that for the first time since it was nationalized in the late 1970s, the firm now has investors other than the Saudi government.

Saudi Arabia had taken all the stops to make sure that the IPO was a success. It reduced Aramco’s tax rate three times, pledged the highest dividend in the world, and gave bonus shares to retail investors holding the stock.

Goldman Sachs Group Inc. has the right to exercise a so-called greenshoe option of 450 million shares as the stock stabilizing agent.

At any time on or before 30 calendar days after the trading launch, the purchase option can be exercised in whole or in part. It could raise $29.4 billion in proceeds from the IPO.

Sale proceeds will be passed to the Public Investment Fund, which has made many ambitious investments, plowing $45 billion into the Vision Fund of SoftBank Corp., taking a $3.5 billion interest in Uber Technologies Inc. and building a futuristic city of $500 billion.

The selling is the first big disposal of state assets since Prince Mohammed initiated a much-touched program in 2016 to reduce the addiction of the economy to oil revenue.

The last major government privatization, the 2014 IPO of National Commercial Bank, received $83 billion in subscriptions from investors.

Tags: Saudi AramcoSaudi Aramco EarningWorld Largest IPO
Previous Post

TikTok Is Ruining Lives, Jobs and Threatening Security In India

Next Post

These are the most viewed Indian ads according to Youtube Ad Leaderboard 2019

Pritish raj

Pritish raj

Pritish Raj is a content writer at Next Big Brand. Hailing from the diversified state of Bihar, he is an engineer by education who chooses the way of poetry, photography, and writing to kick off his career. Highly enthusiastic about brands and startups, he aims to be a travel content creator.

Related Posts

TCS Surpasses Mukesh Ambani’s RIL to Become the Most Valued Indian Company
News

TCS Surpasses Mukesh Ambani’s RIL to Become the Most Valued Indian Company

January 25, 2021
Bata is All Set to Start Training and Fitness Apparel Business
News

Bata is All Set to Start Training and Fitness Apparel Business

January 25, 2021
Indian Government Extends Ban on Earlier Blocked Chinese Apps including TikTok
News

Indian Government Extends Ban on Earlier Blocked Chinese Apps including TikTok

January 24, 2021
LifeStyle Video App Trell Starts Social Commerce for its User Base
News

LifeStyle Video App Trell Starts Social Commerce for its User Base

January 22, 2021
Dips and Sauces Maker Wingreens Farms Acquires Natural Beverage Startup Raw Pressery
News

Dips and Sauces Maker Wingreens Farms Acquires Natural Beverage Startup Raw Pressery

January 22, 2021
Cred Founder Kunal Shah Invests in the new Venture of One Plus Co-founder Carl Pie
News

Cred Founder Kunal Shah Invests in the new Venture of One Plus Co-founder Carl Pie

January 21, 2021
Next Post
youtube revenue users -next-big-brand

These are the most viewed Indian ads according to Youtube Ad Leaderboard 2019

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

RECOMMENDED NEWS

Amul's Turnover- Next Big Brand

HomeGrown Diary Giant Amul’s Turnover Crosses ₹50,000 Crore

10 months ago
Corona Beer Production- Next Big Brand

Corona Beer Suspends Production Amid COVID-19 Health Emergencies

10 months ago
trusted brands indians - next big brand

Brand Equity’s Most Trusted Brands of Indians in 2019-20

10 months ago
Fair & lovely Rebranding

HUL Decides Is Rebranding ‘Fair & Lovely’,Will Remove Fair From Name

7 months ago

FOLLOW US

  • 22.5k Fans

BROWSE BY TOPICS

2018 League amazon Amazon Great Indian Sale Amazon Prime Apple Apple Inc Automobile Industry Balinese Culture Bali United Budget Travel Champions League Chopper Bike Doctor Terawan facebook Facebook app future group hotstar Indian OTT Platforms Indian Smartphone Market Istana Negara Jio Market Stories Maruti Suzuki National Exam Netflix Netflix India Netflix Originals oppo OTT OYO Realme Reliance Industries Limited Reliance Jio RIL Samsung Tata Motors Tiktok TikTok India TikTok Videos Visit Bali Vivo whatsapp Xiaomi Xiaomi India YouTube
Next Big Brand

We Talk About Brands

Follow us on social media:

Recent News

  • TCS Surpasses Mukesh Ambani’s RIL to Become the Most Valued Indian Company
  • AHA: Rise of Telugu Region OTT Platform in a Short Span of Time
  • Bata is All Set to Start Training and Fitness Apparel Business

Instagram

Follow Me!

Latest News

TCS Surpasses Mukesh Ambani’s RIL to Become the Most Valued Indian Company

TCS Surpasses Mukesh Ambani’s RIL to Become the Most Valued Indian Company

January 25, 2021
AHA: Rise of Telugu Region OTT Platform in a Short Span of Time

AHA: Rise of Telugu Region OTT Platform in a Short Span of Time

January 25, 2021
  • About Us
  • Privacy Policy
  • Terms and Conditions
  • Disclaimer
  • DMCA Policy
  • Our Team
  • Contact Us
  • Sitemap

© 2019 NBB. All Rights Reserved.

No Result
View All Result
  • .
  • News
  • Internet
  • Startup
  • OTT
  • Agency
  • Industries
  • FMCG
  • Automobile
  • Retail
  • Tech
  • Case Study
  • Interview

© 2019 NBB. All Rights Reserved.

Login to your account below

Forgotten Password?

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.