Saudi Arabia’s national oil company may unveil its plans for an initial public offering (IPO) in less than a month. Sources with knowledge of the matter told Bloomberg that Saudi Aramco was likely to make an official announcement on its plans for the stock float, which may yield a valuation of $2 trillion, around October 20.
The sources, some of whom spoke on condition of anonymity, went on to say that the IPO might be launched shortly after the announcement, perhaps as early as November. They noted, though, that the schedule for the offering had yet to be finalized.
Richard Segal, a senior emerging markets analyst at Manulife Asset Management, said he believed that this timeline was feasible. “Listing in a couple of months is realistic, on the assumption that the paperwork is ready,” he told Bloomberg.
Bloomberg’s sources were speaking shortly after reports emerged that Saudi Arabia had already brought oil production up to more than 11 million barrels per day. Segal speculated that the company was working quickly not just because it was keen to restore normal operations following the aerial attacks of September 14 but also to ensure that its IPO would not be postponed.